A company discovers that an employee has created a fictitious vendor on the vendor master file and

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A company discovers that an employee has created a fictitious vendor on the vendor master file and the company has paid a total of $250000 to this vendor through fake invoices. This is an example of fraud in the:

(a) revenue cycle.

(b) inventory management cycle.

(c) expenditure cycle.

(d) cash receipts cycle.

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Accounting Information Systems Understanding Business Processes

ISBN: 9781742165554

3rd Edition

Authors: Brett Considine, Alison Parkes, Karin Olesen, Michael Lee, Derek Speer

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