One of the Typical Characteristics of Management Fraud Is

question 60

Multiple Choice

One of the typical characteristics of management fraud is

• A) Falsification of documents in order to misappropriate funds from an employer.
• B) Victimization of investors through the use of materially misleading financial statements.
• C) Illegal acts committed by management to evade laws and regulations.
• D) Conversion of stolen inventory to cash deposited in a falsified bank account.

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Definitions:

General Journal

A bookkeeping ledger that records every financial transaction of a business in chronological order.

Revenues Journal

A record of sales and income transactions, typically used in accounting to track and manage revenue generation.

Cash Receipts Journal

An accounting journal used to record all cash inflows or money received by the business.

All-purpose Journal

A general ledger used in accounting to record financial transactions that do not fit specifically into other specialized journals.