A form 1099 with no withholdings where withholdings should exist may be a fraud symptom for which liability account?
A) Accounts Payable
B) Unearned Revenues
C) Contingent Liabilities
D) Accrued Liabilities

Question

Quizplus · Accepted Answer

D: A withholding is the same as accruing a liability and if it is not recorded; the company may be trying to understate the liabilities

A Form 1099 with No Withholdings Where Withholdings Should Exist