Which of the following is an analytical symptom associated with revenue-related financial statement frauds?
A) Untrue responses by management to queries about revenue-related accounts
B) Missing documents in the revenue cycle
C) Unusual entries made at the end of the accounting period that increase revenues
D) Significant bonuses tied to meeting earnings forecasts

Question

Quizplus · Accepted Answer

Unusual entries made at the end of the accounting period that increase revenues is a common analytical symptom of revenue-related financial statement frauds. This can include practices such as "channel stuffing" or recognizing revenue prematurely. Options A and D are examples of red flags that could signal the possibility of fraud but are not specifically analytical symptoms. Option B may be an indication of inadequate controls but is not a specific analytical symptom associated with revenue-related fraud.

Which of the Following Is an Analytical Symptom Associated with Revenue-Related