Personal financial obligations create a risk factor relating to:
A) misappropriation of assets.
B) fraudulent financial reporting.
C) both A and B
D) none of the above

Question

Quizplus · Accepted Answer

Personal financial obligations can motivate employees to misappropriate assets, such as stealing or embezzlement, to cover their own debts or financial hardships. It does not directly relate to fraudulent financial reporting, which involves manipulating financial statements to deceive investors or stakeholders.

Personal Financial Obligations Create a Risk Factor Relating To