A "smart" embezzler will most likely use the following account(s) to commit fraud:
A) Accounts Payable
B) Sales
C) Paid-in Capital
D) All of the above

Question

Quizplus · Accepted Answer

A: Accounts payable is not an account a "smart" embezzler would use, because a vendor (an outside party) could bring the fraud to the attention of the company.
B: The sales account is the easiest way to commit fraud (of the choices available) especially since it is closed out at the end of each year.
C: Paid-in capital is an equity account and usually has few entries; thus, a fraud would be hard to commit in this account.
D: Incorrect (see b above)

A "Smart" Embezzler Will Most Likely Use the Following Account(s)