Which of the following is not a typical symptom of revenue fraud?
A) managers and other company officers are living a lavish lifestyle
B) management overrides significant internal control activities related to the revenue cycle
C) revenue-related ledgers do not balance
D) the company has numerous large customers

Question

Quizplus · Accepted Answer

answers a, b, and c are all explicitly stated in the book as revenue-related fraud symptoms. While new, unusual, or large customers that have not gone through the customer approval process are also a symptom of fraud, just having many large customers is not necessarily a symptom of fraud. The firm could possibly be targeting such customers, just as the large accounting firms target the large Fortune 500 companies

Which of the Following Is Not a Typical Symptom of Revenue