Which of the Following Is a Valid Reason Behind the Prevalence

question 8

Multiple Choice

Which of the following is a valid reason behind the prevalence of revenue-related financial statement fraud?

• A)It is easy to manipulate net income using revenues and receivables accounts.
• B)Till date,none of the revenue-related frauds have been uncovered.
• C)A reversing effect of the fraud automatically occurs only in the subsequent period.
• D)Auditors focus more on balance sheet items than on revenue accounts.

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Definitions:

Proximate Levels

Describes immediate, underlying causes of biological processes or behaviors, focusing on how they occur.

Ultimate Levels

Explanations in biology that address why events occur, based on evolutionary significance and history.

Sonograms

Visual representations of the spectrum of frequencies of sound as they vary with time, often used in bird song analysis.

Acoustic Stimulus

A sound or auditory signal that triggers a response in a receiver, commonly studied in animal communication and human psychology.