Which of the following statements about fraud or fraud detection is true?
A)Management may physically alter evidence to perpetrate and conceal the fraud.
B)Fraudulent financial reporting is generally not material enough to consider.
C)Journal entries will supply evidence necessary to detect fraud.
D)The advent of new technology prevents fraud,thereby leading to less fraud over time.

Question

Quizplus · Accepted Answer

Unfortunately, management may be involved in perpetrating fraud and could alter or destroy evidence to cover it up.

Answer: None of the above
 The other statements are incorrect. Fraudulent financial reporting can have significant consequences and may be material, journal entries alone are often insufficient to detect fraud, and while technology has improved fraud detection in some ways, it has also led to new types of fraud.

Which of the Following Statements About Fraud or Fraud Detection