7. Per the Fraud Examiners Manual, which of the following would help discourage the perpetration of financial statement fraud? A. Reducing the situational pressures that encourage financial statement fraud B. Reducing the opportunity for commit fraud. C. Reducing the rationalization of fraud by strengthening employee personal integrity D. All of the above. 8. Per the Fraud Examiners Manual, what are the two conditions necessary for an item to qualify as an asset? A. the item must (1) paid for and (2) tangible. B. the item must (1) have a useful life of more than one year and (2) legally owned by the entity (i.e., the entity has title to the property). C. the item must (1) available for use and (2) legally owned by the entity. D. the item must (1) be owned by the entity and (2) provide future benefit. ry fit ll result in a failing grade for this course. 2 38. Per the Fraud Examiners Manual, year-after year filing extensions to file tax returns and filing tax retums on the last possible date could be: A. an indication of asset misappropriation B. an indication of comuption. C. a ploy to cover up financial statement and tax return differences. D. an indication of hidden revenues