Which of the Following Is a Factor That Relates to Incentives/pressures

question 3

Multiple Choice

Which of the following is a factor that relates to incentives/pressures to misappropriate assets?

• A) weak internal controls
• B) significant personal financial obligations
• C) management's practice of making overly aggressive forecasts
• D) anger and fear

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Definitions:

Dishonest Employees

Workers who engage in fraudulent or unethical behavior, potentially harming their employer financially or reputationally.

Fraudulent Activity

An illegal act involving the intentional deception or misrepresentation that an individual or entity makes to gain a benefit or advantage.

Debit Memorandum

A document or entry recorded by an entity that decreases a balance in another's account, typically used in adjustments between businesses.

Cash Balance

The amount of cash a company has on hand at a given time, reflecting its liquidity.