Which of the following is a fraud scheme affecting the inventory?
A) Refreshing transactions
B) Side agreements
C) Double counting
D) Lapping

Question

Quizplus · Accepted Answer

Double counting is a fraud scheme affecting the inventory where the quantity of an item is counted twice, resulting in an overstatement of the inventory balance. Therefore, option C is the correct choice. Refreshing transactions, side agreements, and lapping are fraud schemes that affect accounts receivable.

Which of the Following Is a Fraud Scheme Affecting the Inventory