Maple Company Has an Increase in Purchases from Specific Vendors

question 46

Multiple Choice

Maple Company has an increase in purchases from specific vendors and an increase in raw materials inventory for the items purchased from these vendors.Sales for the company have not increased and are not forecast to increase.From this information an auditor might suspect

• A)An increase in obsolete raw material inventory.
• B)Theft of raw material inventory.
• C)Kickbacks from vendors
• D)Poor security over raw material inventory.

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Definitions:

Visual Cortex

The part of the brain responsible for processing visual information.

Optic Nerve

The nerve that transmits visual information from the retina to the brain.

Optic Chiasm

The part of the brain where the optic nerves partially cross, playing a crucial role in the visual system by combining visual information from both eyes.

Light Adaptation

The process by which the eye adjusts to bright light conditions after being in darker settings.