Select the true statement from the following:
A)Employee fraud is more prevalent in the routine processes.Management fraud is more prevalent in administrative processes and reporting.
B)Employee fraud is less prevalent in the routine processes and administrative processes.Management fraud is more prevalent in operational processes and reporting.
C)Employee fraud is less prevalent in the administrative processes.Management fraud is more prevalent in operational processes and reporting.
D)Employee and managerial fraud is prevalent in the routine processes as well as the administrative processes and reporting equally.

Question

Quizplus · Accepted Answer

Employee fraud is more likely to occur in routine processes while management fraud is more likely in administrative processes and reporting. This is because routine processes are more likely to have minimal oversight and monitoring, making it easier for employees to commit fraud without detection. Management fraud, on the other hand, often involves intentional manipulation of financial reporting to hide fraudulent activities or inflate financial results, which is more commonly found in administrative processes and reporting.

Select the True Statement from the Following