Fraudulent financial reporting is a business reality. While it cannot be eliminated, the risk of fraudulent reporting can be decreased. Which of the following considerations is least likely to lessen that risk?
A. an independent audit committee
B. an internal audit function
C. vigilant management
D. an increased focus on tying bonuses to short-term company performance
Answer:D
Fraudulent financial reporting is a business reality. While it cannot be eliminated, the risk of fraudulent reporting can be decreased. Which of the following considerations is least likely to lessen that risk?
A. an independent audit committee B. an internal audit function C. vigilant management D. an increased focus on tying bonuses to short-term company performance