Which of the Following Is an Example of Output Fraud

question 33

Multiple Choice

Which of the following is an example of output fraud?

• A)A man used desktop publishing to prepare bills for office supplies that were never ordered or delivered and mailed them to local companies.The invoices were for less than $300,an amount that often does not require purchase orders or approvals.A high percentage of the companies paid the bills.
• B)Two accountants without the appropriate access rights hacked into Cisco''s stock option system,transferred over $6.3 million of Cisco stock to their brokerage accounts,and sold the stock.They used part of the funds to support an extravagant lifestyle,including a $52,000 Mercedes-Benz,a $44,000 diamond ring,and a $20,000 Rolex watch.
• C)The office manager of a Wall Street law firm sold information to friends and relatives about prospective mergers and acquisitions found in Word files.They made several million dollars trading the securities.
• D)A fraud perpetrator scanned a company paycheck,used desktop publishing software to erase
• The payee and amount,and printed fictitious paychecks.

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Definitions:

Charismatic Authority

A form of leadership where the leader's authority is derived from their personal charm and the devotion they inspire in their followers.

Mass Suicide

An event in which a large number of individuals intentionally end their lives together, usually within a group or community, often following a collective belief or pact.

People's Temple

A cult led by Jim Jones, best known for the mass suicide in Jonestown, Guyana, in 1978, where over 900 members died.

Pascal's Wager

An argument in philosophy that posits individuals should live as if God exists, because the potential benefits outweigh the costs.