Which of the following is an investment swindle in which high profits are promised from fictitious sources and early investors are paid off with funds raised from later investors?
A) False entries
B) False token
C) False pretenses
D) Ponzi scheme
E) Pretexting

Question

Quizplus · Accepted Answer

A Ponzi scheme is an investment fraud that involves the payment of purported returns to existing investors from funds contributed by new investors. The scheme leads investors to believe that profits are coming from product sales or other means, and they remain unaware that other investors are the source of funds.

Which of the Following Is an Investment Swindle in Which