Who are the primary victims of financial statement fraud?
A) Employees and middle management.
B) Organizations that buy goods or services.
C) Analysts and pundits.
D) All Stockholders

Question

Quizplus · Accepted Answer

A: While they are negatively affected by fraud, they do not rely on financial statements to the same degree as stockholders
B: This is the victim of vendor fraud
C: They may be fooled by financial statement fraud, but they would not suffer as much as stockholders
D: Stockholders are the primary victims of management fraud because they are they ones who depend most on the accuracy of the financial statements

Who Are the Primary Victims of Financial Statement Fraud