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Dylan,the Accountant of Skylar Constructions,is Being Suspected for Altering Entries

Question 9

Multiple Choice

Dylan,the accountant of Skylar Constructions,is being suspected for altering entries in the books of accounts and transferring the difference to a separate account.Dylan has recently bought a luxury car.You are appointed to investigate the fraud.Which of the following is a good preliminary hypothesis for the case?


A) Skylar uses perpetual inventory method which reduces the probability of detection of fraud.
B) Dylan shares a good rapport with the auditor of the company, enhancing the opportunity to commit fraud.
C) Dylan recently bought a luxury car, the sources of funds for which is yet to be determined.
D) The financial statements of the company are reported quarterly, increasing the probability of detection.

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