A high risk condition for the fraud risk factor 'opportunity' would be:
A) known or expected future layoffs
B) that the company is close to its debt covenants.
C) behavior indicating displeasure or dissatisfaction with the company or its treatment of an employee
D) large amounts of cash on hand.

Question

Quizplus · Accepted Answer

The opportunity for fraud is often related to the ease with which someone can misappropriate assets or manipulate financial statements without being detected. Large amounts of cash on hand can provide such an opportunity, as cash is more easily stolen or misused compared to other assets that might require more effort or collusion to convert into personal gain.

A High Risk Condition for the Fraud Risk Factor 'Opportunity