Which of the following is NOT true regarding "topside" journal entries used to commit financial statement fraud?
A)Upper management usually records the journal entry.
B)Entries are recorded on subsidiary ledgers.
C)The journal entry may be recorded after normal business hours.
D)Entries often bypass the normal process for posting journal entries.

Question

Quizplus · Accepted Answer

Topside journal entries are recorded directly in the general ledger rather than in subsidiary ledgers. This allows them to bypass controls and go undetected by lower-level employees. The other options are commonly true regarding topside journal entries.

Which of the Following Is NOT True Regarding "Topside" Journal