ABC Corporation, had complete control of the purchasing function for his department. Baker authorized the purchase of several thousand dollars’ worth of supplies which were unnecessary to ABC. Baker used these supplies to make improvements to his home. This is an example of what kind of fraud?
ABC Corporation, had complete control of the purchasing function for his department. Baker authorized the purchase of several thousand dollars’ worth of supplies which were unnecessary to ABC. Baker used these supplies to make improvements to his home. This is an example of what kind of fraud?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Baker, an employee of ABC Corporation, had complete control of the purchasing function for his department. Baker authorized the purchase of several thousand dollars’ worth of supplies which were unnecessary to ABC. Baker used these supplies to make improvements to his home.
This is an example of what kind of fraud?
a. Check tampering
b. Theft of inventory
c. Personal purchases with company funds
d. Misuse of company assets
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