The Two Most Common Types of Fraud Impacting Financial Statements

question 14

Multiple Choice

The two most common types of fraud impacting financial statements are

• A)corruption and fraudulent financial reporting.
• B)misappropriation of assets and embezzlement.
• C)fraudulent financial reporting and e-commerce fraud.
• D)fraudulent financial reporting and misappropriation of assets.

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Definitions:

Money Supply

The total amount of money available in an economy, including cash, deposits, and other forms of liquidity.

Real Output

The production of goods and services valued at constant prices, thus removing the effect of inflation.

Price Level

The calculated mean price level for the entire range of economic goods and services.

Nominal GDP

The gross domestic product measured in current prices, without adjusting for inflation.