Which of the following is not a potential fraud indicator in the acquisition and payment cycle?
A)Expenses that are significantly above or below industry norms.
B)Expense accounts that have significant debit entries.
C)Unexpected increases in gross margin.
D)Capital assets that seem to be growing faster than the business.

Question

Quizplus · Accepted Answer

Expense accounts naturally have debit entries because expenses are recorded as debits in accounting. This is a normal part of financial operations and not necessarily an indicator of fraud.

Which of the Following Is Not a Potential Fraud Indicator