Skimming involves stealing cash or assets from the organization and is normally concealed by adjusting the organization’s records.

Skimming involves stealing cash or assets from the organization and is normally concealed by adjusting the organization’s records.

4, Disbursement fraud occurs when a person causes the organization to issue a payment for fictitious goods or services.
A . 1 and 3.B.
B . 1 and 4.
C . 2 and 3.
D . 2 and 4.

View Answer

Answer: D

Explanation:

According to typical descriptions of fraud schemes, Tax evasion (intentional reporting of false or misleading information on a tax return by an organization to reduce taxes owed) and Disbursement fraud (occurs when a person causes the organization to issue a payment for fictitious goods or services) are true statements. These are common schemes that involve intentional misrepresentation to achieve financial gain at the expense of the organization or government.

Reference: Fraud examination and prevention literature and standards from professional organizations such as the Association of Certified Fraud Examiners (ACFE) and the Institute of Internal Auditors (IIA).