Each of the following personnel policies, operating conditions, and procedures appear to contribute to a high fraud environment EXCEPT:
A) Perceived inequalities in the organization and inadequate pay.
B) Inadequate expense accounts and unreasonable budget expectations
C) Proactive management
D) Managers with impulsive, insensitive, dominant, or emotional personalities
E) High employee turnover.

Question

Quizplus · Accepted Answer

C: answers a, b, d, and e can lead to disgruntled employees who develop motives to commit fraud. If management is proactive, however, there will be an open line of communication between management and the employees and most employee frustration will be resolved before someone decides to commit fraud.

Each of the Following Personnel Policies, Operating Conditions, and Procedures