Relationships with related parties are heavily investigated for fraud because:
A) They often allow for other then arms-length transactions.
B) Related party transactions usually involve a fictitious organization
C) People outside an organization are more likely crooks
D) Usually the board of directors don't know anything about related party transactions

Question

Quizplus · Accepted Answer

A: Correct
B: Incorrect; the majority of related party transactions involve legitimate organizations
C: Incorrect
D: Incorrect

Relationships with Related Parties Are Heavily Investigated for Fraud Because