12. The audit of revenue and receivables is of significant audit risk because Select one: a. The understatement of revenue results in a corresponding overstatement of net income b. Understatement of revenue has been a factor in many instances of fraudulent financial reporting c. Overstatement of revenue has been a factor in many instances of fraudulent financial reporting, d. The overstatement of revenue results in a corresponding understatement of net income

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Fraud

Fraud in accounting is the planned manipulation of financial documents to make a false appearance of corporate financial health. Moreover, it includes an employee, accountant, or the company itself misleading investors and shareholders.