The expenditure process is particularly prone to a risk of employee fraud through _______.
A)unauthorized receipts of cash.
B)authorized disbursements of cash.
C)unauthorized disbursements of cash.
D)authorized receipts of cash.

Question

Quizplus · Accepted Answer

Unauthorized disbursements of cash can occur when an employee uses company funds for personal gain without proper authorization, such as creating fake invoices or falsifying receipts. This can result in significant financial loss for the organization. The other options (A, B, and D) either do not involve fraud or are authorized transactions.

The Expenditure Process Is Particularly Prone to a Risk of Employee