Opportunity to Commit Fraud Is Comprised of Three Stages

question 16

Multiple Choice

Opportunity to commit fraud is comprised of three stages.The stage that often takes most time and effort would include

• A) stealing inventory from the warehouse.
• B) selling stolen inventory to get cash.
• C) lapping accounts receivable.
• D) creating false journal entries to overstate revenue.

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Definitions:

Neurotics

Individuals who experience a higher than average level of emotional distress or are prone to suffer from some type of neurosis.

Specific Object

An item or thing that is distinctly identified or defined.

Anxiety

A feeling of worry, nervousness, or unease about something with an uncertain outcome, often related to imminent events or something with an unpredictable result.

Hysteria

A psychological disorder characterized by excessive or uncontrollable emotion or excitement, now recognized as a variety of disorders.