Misappropriation of Company Assets Can Occur in the Following Ways

question 53

Multiple Choice

Misappropriation of company assets can occur in the following ways

• A)employees can set up accounts for fictitious vendors and process payments to these vendors
• B)customers can create fictitious employees and misdirect payroll for these employees to their own accounts
• C)employees can make purchases of inventory or supplies on the company account and use the items for their own personal use
• D)customers can set up accounts receivable for fictitious customers and process payments to these customers
• E)both A and C
• F)both B and D

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Definitions:

Dot Com Bubble

A period of excessive speculation and investment in Internet-related companies during the late 1990s, leading to a market crash in 2000.

Stock Market

A public marketplace for buying and selling shares of publicly held companies, reflecting the economic trends and financial health of businesses and countries.

Declined

A decrease in quantity, quality, or strength; refusal to accept or agree to something, often a proposal or request.