Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle
Section: Chapter Questions
Problem 7RQSC
Related questions
Question
21)
Which is not one of the fraud factors in the Fraud Pentagon?
A. |
Incentive |
|
B. |
Pressure |
|
C. |
Opportunity |
|
D. |
Employee disenfranchisement |
Expert Solution
Step 1
Offshoring,worldwide alliances, and the technology that connects them have all become more important tobusinesses.The traditional corporate ladder structure of the 1950s has given way to matrix organisations, in which employees with more flexibility have the prerogative to affect transformation throughout the corporation. Employees are more likely to uncover unscrupulous solutions to achieve performance targets when performance-based pay and prizes replace step-up compensation schemes.
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