D. upselling. 25. Per the Fraud Examiners Manual, which of the following is a red flag associated with timing differences or improper revenue recognition? A. decline in sales or unusual decline in profitability B. recurring positive cash flows from operations. C. unusual decline in gross margin or gross margin less than industry peers D. unusual growth in the days' sales in receivable ratio. 26. Per the Fraud Examiners Manual, asset values are generally not increased to reflect current market value. What asset is an exception to this general rule? A. inventories. B. certain marketable securities. C. accounts receivables. D. intangible assets such as goodwil. 27. Per the Fraud Examiners Manual, what are the results from failing to write down or write off inventory (e.g., for obsolescence)? A. overstated assets and the mismatching of cost of goods sold with revenues B. understated assets and the mismatching of cost of goods sold with C. overstated liabilities and the mismatching accounts payable with the D. understated liabilities and the mismatching accounts payable with the revenues cost of goods sold. cost of goods sold. esult in a failing grade for this course. 4