Your employer operates in an industry in which company pre-tax earnings are expected to increase by 5% next year.Your employer,however,has issued earnings guidance in which it declared that it expects its pre-tax earnings to increase by 11% next year.As a result,which of the following elements of the Fraud Triangle are present?
A) Attitudes
B) Pressure to understate expenses
C) Opportunity to overstate revenues
D) All three elements are present
Correct Answer:
Verified
Q1: To curb potential abuse,publicly traded companies:
A) May
Q2: "Big bath accounting" describes a company's actions
Q3: Enron's use of Special Purpose Entities led
Q4: The Fraud Triangle refers to:
A) The three
Q6: From the perspective of accounting,the downfall of
Q7: A "side agreement":
A) Allows a company to
Q8: When a person's net cash flow exceeds
Q9: According to the Fraud Triangle,which the following
Q10: The LIBOR scandal was primarily caused by:
A)
Q11: "Cookie jar accounting":
A) Always sweetens, or increases,
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents