Which of the following is not a potential fraud indicator in the acquisition cycle?
A) Expenses that are significantly above or below industry norms.
B) Expense accounts that have significant debit entries.
C) Unexpected increases in gross margin.
D) Capital assets that seem to be growing faster than the business.

Question

Quizplus · Accepted Answer

Expense accounts with significant debit entries are normal as expenses are typically recorded as debits. The other options can indicate potential fraud in the acquisition cycle.

Which of the Following Is Not a Potential Fraud Indicator