Which of the Following Is Not a Potential Fraud Indicator

question 68

Multiple Choice

Which of the following is not a potential fraud indicator in the acquisition and payment cycle?

• A)Expenses that are significantly above or below industry norms.
• B)Expense accounts that have significant debit entries.
• C)Unexpected increases in gross margin.
• D)Capital assets that seem to be growing faster than the business.

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Definitions:

Poverty Threshold

The annual income below which a family is officially considered poor.

Technological Progress

It denotes advancements and improvements in technology, which enhance productivity and efficiency in various sectors.

Income Inequality

The unequal distribution of income among individuals or groups within a society.

Labor-intensive Products

Goods that require a relatively high amount of labor to produce, compared to the amount of capital required.