________ Is the Element in the Fraud Triangle That Results

question 79

Multiple Choice

________ is the element in the fraud triangle that results from weak internal controls.

• A)Motive
• B)Opportunity
• C)Rationalization
• D)Reasoning

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Definitions:

Erosion Costs

Costs incurred when a new project or product negatively impacts the sales and profits of existing products or services.

Operating Cash Flow

The money a company makes from core business activities excluding costs associated with financing or investments.

Salvage Value

The estimated resale value of an asset at the end of its useful life, reflecting what a company expects to recover to offset initial costs.

CCA Depreciation

Stands for Capital Cost Allowance Depreciation, which is a way to claim a tax deduction for the depreciating value of assets over time in Canada.