Misappropriation of assets
A) is generally committed by company management.
B) harms the users of the financial statements by providing them incorrect financial data for their decision making.
C) causes harm to stockholders because the assets are no longer available to their rightful owners.
D) causes the financial statements to be misstated since the misappropriation usually involves material amounts.

Question

Quizplus · Accepted Answer

Misappropriation of assets directly harms stockholders because it involves the theft or misuse of company assets, which reduces the resources available to the rightful owners, the stockholders.

Misappropriation of Assets