Analytical Procedures Can Be Very Effective in Detecting Inventory Fraud

question 70

Multiple Choice

Analytical procedures can be very effective in detecting inventory fraud.Which of the following analytical procedures would not be useful in detecting fraud?

• A)Gross margin percentage
• B)Inventory Turnover
• C)Cost of sales percentage
• D)Accounts receivable turnover

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Definitions:

Dominant Strategies

In game theory, a strategy that is best for a player in a game regardless of the strategies chosen by the other players.

Sequential Version

A process or model that is designed to occur or be executed in a specific order or sequence.

Preemptive Strategy

A business strategy designed to discourage or prevent potential competitors from entering the market.

Strategic Move

A planned action by a company or individual designed to outmaneuver competitors or advance its position in the marketplace.