In Order for Auditors to Be Able to Recognize Potential

question 35

Multiple Choice

In order for auditors to be able to recognize potential fraud, they must be aware of the basic characteristics of fraud. Which of the following is not a characteristic of fraud?

• A)Intentional deception.
• B)Taking unfair or dishonest advantage of other people.
• C)Perpetration for the benefit or detriment of the organization.
• D)Negligence on the part of executive management.

---

Definitions:

Social Groups

Collections of people who interact with each other and share similar characteristics or a sense of unity.

Evaluation Apprehension Model

The argument that the physical presence of members of the same species causes drive because people have learnt to be apprehensive about being evaluated.

Mere Presence

The concept that the simple presence of others can influence an individual's behavior, without any direct interaction.

Individualists

People who prioritize their own goals and well-being over the goals and well-being of the group.