According to a study sponsored by The Committee of Sponsoring Organizations (COSO), the most common way to manipulate revenue accounts is by:
A) Reclassifying expenses as revenues
B) Recording fictitious revenues
C) Inappropriately reducing sales returns and allowances
D) Prematurely recording revenue

Question

Quizplus · Accepted Answer

A: Incorrect
B: Correct; COSO found this to be the most common way to manipulate revenue accounts
C: Incorrect
D: Incorrect; this is the second most common way to manipulate revenue accounts

According to a Study Sponsored by the Committee of Sponsoring