Which of the Following Would NOT Be Used by Firms

question 22

Multiple Choice

Which of the following would NOT be used by firms to deter shirking?

• A) requiring employees to post a bond
• B) offering a bonus after five years of service
• C) paying more than the market wage
• D) paying less than the market wage

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Definitions:

Fraud Triangle

A model explaining the factors that cause someone to commit occupational fraud, consisting of opportunity, pressure, and rationalization.

Rationalization

The process of reorganizing a company to increase efficiency or reduce costs, often involving layoffs and restructuring.

Opportunity

In business, an opportunity refers to a favorable situation or circumstance that can be leveraged for potential growth or profit.

Internal Users

Individuals within an organization who use accounting information for decision-making purposes, such as managers and employees.