The CEO's bonus is based on achieving a certain level of reported earnings.

WIth respect to the Fraud Triangel, this circumstance is an example of:

		Opportunity.
		Rationalization.
		Verification.
		Incentive.

On September 1, 2020, Balboa Company invests $40,000 in a 2-month CD that pays an annual interest rate of 1.5 percent. Assume that the CD matures on October 31 and that Balboa prepares financial statements at the end of each calendar month. Which of the following statements is true?

		Balboa will debit interest receivable by $100 on October 31.
		Balboa will debit cash by $40,000 on September 30.
		Balboa will credit interest receivable by $50 on October 31.
		Balboa will debit interest income by $50 on September 30.