Your Employer Operates in an Industry in Which Company Sales

question 15

Multiple Choice

Your employer operates in an industry in which company sales are expected to increase by 5% next year.Your employer,however,has issued earnings guidance in which it declared that it expects its sales to increase by 13% next year.As a result,which of the following elements of the Fraud Triangle are present?

• A) Rationalization
• B) Pressure to engage in channel stuffing
• C) Opportunity to exceed expectations
• D) Opportunity to garner above-market stock performance gains

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Definitions:

Productivity Improvements

Enhancements in the efficiency and effectiveness of work processes, leading to higher output or quality with the same or lower input.

Annual Salary Increases

Regular, incremental adjustments to an employee's base pay, typically conducted on a yearly basis to keep up with market rates, inflation, or to reward performance.

Flexible Work Hour Plans

Employment arrangements that allow workers to choose their work hours within specified limits.

Core Time

A period during the workday when all employees are expected to be at work, allowing for flexibility at the start and end of the day while ensuring a common time for collaboration.