The Condition,opportunity to Commit Fraud,is Present When

question 66

Multiple Choice

The condition,opportunity to commit fraud,is present when

• A)An individual believes that he is underpaid
• B)An individual believes that the company has plenty of money
• C)An individual believes that the company does not deal with customers fairly
• D)An individual believes that internal controls can be overridden

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Definitions:

Invoice Approval Form

A document used to approve invoices for payment, ensuring the goods or services billed have been received and are satisfactory.

Perpetual Inventory System

An inventory accounting system that records goods and materials purchased and sold in real-time through the use of computerized point-of-sale systems and enterprise asset management software.

Merchandise Inventory

Items that a business possesses with the intention of selling them to consumers.

Accounts Payable

Amounts a company owes to creditors for goods or services that have been bought on credit and are payable within a specified period.