21. As a , you work within an organization, prepare reports, and analyze financial information such as budgets and cost management for internal use only. a. public accountant b. government accountant c. management accountant d. forensic accountant 22. Cressey identifies three types of \"offenders\". These include all of the following EXCEPT: a. Absconders b. Independent businessmen c. Long-term violators d. Stakeholders 23. In a white collar crime situation, ___________ is created by strong internal controls, good management oversight, and/or through use of one\'s position and authority. a. pressure b. oversight c. opportunity d. rationalization e. none of the above 24. Rationalization of a white collar crime by the perpetuator includes which of these: a. They owe me b. Borrowing c. Nobody will get hurt d. I deserve more e. All of the above 25. Business owners should have video cameras in the workplace even though the video cameras may not be functional because it is the mere perception that the security is in place that will work as a deterrent. a. True b. False 26. A message from Chairman Phil Knight to all Nike employees: At Nike, we are on the offense, always. We play hard, we play to win, but we play by the rules of the game. The “rules of the game” are posted on the company’s Web site in a document entitled “Inside the Lines,” which is actually Nike\'s___________. A. List of Achievements B. Code of Ethics C. Corporate lessons D .Rationalization of corporate behavior 27. Unity of command is best displayed in and defined as: A. a marketing plan; the single employee responsible for the job B, an employee handbook; the boss who reports to the President of the company C.an organizational chart; one employee reporting to only one boss D. a divisional organizational structure; one boss who report to two Vice Presidents 28. Depository institutions include all of the following except: a. Credit unions b. Commercial banks c. Investment Banks d. Savings & Loan Associations e. all of the above are depository institutions 29. ________ is the practice of ending prices in numbers below even dollars and cents in order to create a perception of greater value. a. Skimming approach to pricing b. Cost-plus pricing c. Prestige pricing d. none of these 30. ________ is where new securities are offered to any investors who are willing and able to purchase them. And, the issuing company had the securities sale authorized by ________ a. The Secondary market; the IRS b. The NASDAQ system; the federal ethics committee c. The Primary market; the SEC d. The Chicago Board of Trade; the New York Stock Exchange 31. Financial capital represents funds a firm uses to acquire assets and finance its operations. All of the following represent forms of financial capital except: a. newly issued common stock b. new Bond issues c. long term loans d. reinvested earnings (Retained Earnings) e. intellectual property Solution ans 21. c - management accountant because the management .

1. 21. As a , you work within an organization, prepare reports, and analyze financial information
such as budgets and cost management for internal use only.
a. public accountant
b. government accountant
c. management accountant
d. forensic accountant
22. Cressey identifies three types of "offenders". These include all of the following EXCEPT:
a. Absconders
b. Independent businessmen
c. Long-term violators
d. Stakeholders
23. In a white collar crime situation, ___________ is created by strong internal controls, good
management oversight, and/or through use of one's position and authority.
a. pressure
b. oversight
c. opportunity
d. rationalization
e. none of the above
24. Rationalization of a white collar crime by the perpetuator includes which of these:
a. They owe me
b. Borrowing
c. Nobody will get hurt d. I deserve more
e. All of the above
25. Business owners should have video cameras in the workplace even though the video cameras
may not be functional because it is the mere perception that the security is in place that will work
as a deterrent.
a. True b. False
26. A message from Chairman Phil Knight to all Nike employees: At Nike, we are on the
offense, always. We play hard, we play to win, but we play by the rules of the game. The “rules
of the game” are posted on the
company’s Web site in a document entitled “Inside the Lines,” which is actually
Nike's___________.
A. List of Achievements
B. Code of Ethics
C. Corporate lessons

2. D .Rationalization of corporate behavior
27. Unity of command is best displayed in and defined as:
A. a marketing plan; the single employee responsible for the job
B, an employee handbook; the boss who reports to the President of the company
C.an organizational chart; one employee reporting to only one boss
D. a divisional organizational structure; one boss who report to two Vice Presidents
28. Depository institutions include all of the following except:
a. Credit unions
b. Commercial banks
c. Investment Banks
d. Savings & Loan Associations
e. all of the above are depository institutions
29. ________ is the practice of ending prices in numbers below even dollars and cents in order to
create a perception of greater value.
a. Skimming approach to pricing
b. Cost-plus pricing
c. Prestige pricing
d. none of these
30. ________ is where new securities are offered to any investors who are willing and able to
purchase them. And, the issuing company had the securities sale authorized by ________
a. The Secondary market; the IRS
b. The NASDAQ system; the federal ethics committee
c. The Primary market; the SEC
d. The Chicago Board of Trade; the New York Stock Exchange
31. Financial capital represents funds a firm uses to acquire assets and finance its operations. All
of the following represent forms of financial capital except:
a. newly issued common stock
b. new Bond issues
c. long term loans
d. reinvested earnings (Retained Earnings) e. intellectual property
Solution
ans 21. c - management accountant
because the management accountant refers to a function of tracking internal cost for any business
process that helps an organization, firm or an individual in making decisions related to

3. production, operation and investment in market and its main role is budgeting
ans 22. d- stakeholders
cressey is criminologist who has given theory on fraud triangle and has donec research in white
collar crime. according to him there are 3 offenders
1. Independent businessmen : they use 2 excuses
2. long term violators : they are the peole who
3. Absconders : they are the people who take the money and run.
ans.23 e-none of the above
Pressure-
is what causes a person to commit fraud. Pressure can come from asignificant financial need or a
problem. It can be almost anything such as medical bills, expensive tastes, addiction problems,
divorce or on and on.
Opportunity-
is the ability to commit fraud. Opportunity is created by weak internal controls, poormanagement
oversight and/or the use of one‘s position and authority e.g., serving the organization as a
financedirector, controller, bookkeeper.
Rationalization-
is a crucial element for fraud. It involves a person reconciling hisbehaviour(stealing) with the
commonly acceptedideals of decency and trust.Rationalization takes place in the mind and is
usually overlooked, but the observant accountant will be able to detect mannerisms and word-
choice that typifies a fraud suspect's behavior.
ans 24 e -all of these
fraud can definitely be rationalized in the perpetrator's mind. This is the ability to convince one
that something he/she know is wrong is really. Fraudsters may often think: "I am only
borrowing the money and will pay it back"; "Nobody will get hurt"; "The organization treats
me unfairly, so they owe me"; "It's for a good purpose."
Somecommon rationalizations for committing fraud are as follows:
The personbelieves stealing is justified to save a loved one, The person believes they will lose
everything if they
don‘t steal, The person believes there is no outside help available to them, The person labels the
theft as?borrowing and fully intends to pay it back at some future date, The person, because of
job dissatisfaction (low pay, environment,treatment by supervisor,etc.believes that something is
owed to them, I really need this money and I‘ll put it backwhen I get mypay check. ?I‘d rather
have the company on my back than the IRS. ?I just can‘t afford to loseeverything my home, car,
everything.
ans.25 true

4. Video surveillance cameras record acts of employee theft. The cameras can act as a crime
deterrent. When criminals see a surveillance camera, or employees know surveillance is in place,
it discourages criminal activity.The video images will help the police in the ensuing
investigation.even if they do not function,they can create fear in the minds of employee and
people for commiting any fraud.
ans.26 b-code of ethics
The “rules of the game” that are posted on the company’s Web site in a document entitled “
Inside the Lines ,” which explains the standards of conduct that Nike expects its employees to
follow. It’s a code of ethics, and Knight strongly suggests that all employees read it more than
once. In fact, each year, all Nike employees must verify that they’ve read and understand Inside
the Lines.
ans.27 c-an organizational chart; one employee reporting to only one boss
Unity of Command is one of the Henri Fayol's 14 principles of Management. This principle
states that there must be only one superior to a subordinate. That is, an employee or a worker
must not have many bosses or superiors. If an employee or subordinate has to work under the
influence of many bosses or superiors, then it creates a confusing situation, dilemma and
disorder. This also affects overall efficiency, productivity and profit of the organization.
In other words, the work of a worker or job of an employee must always be supervised by a
single head.
These are the guidelines for interacting with fellow employees, consumers, shareholders,
business partners, employees, and the community.They cover all the ethical basics, including
bribery, conflict of interest, conflict of loyalty, questions of honesty and integrity
ans.28 c- Investment Banks
is a depository institution is a financial institution in the United States (such as a savings bank,
commercial bank, savings and loan associations, or credit unions) that is legally allowed to
accept monetary deposits from consumers. Under federal law, however, a "depository
institution" is limited to banks and savings associations ,credit unions are not included.
some of the non depository institutions are-
-mutual funds
-security firms:investment banking,equity broking
-pension funds
-Insurance companies
ANS.29 D-none of these
odd pricing is the practice of ending prices in numbers below even dollars and cents in order to
create a perception of greater value.Odd pricing is a pricing method aimed at maximizing profit
by making micro-adjustments in pricing structure. It relies on the assumption that consumers are

5. calculation-averse and will therefore only read the first digits of a price when making their
purchasing decision
ans.30 c. The Primary market; the SEC
The primary market is where securities are created. It's in this market that firms sell new stocks
and bonds to the public for the first time. IPO, is an example of a primary market. These trades
provide an opportunity for investors to buy securities from the bank that did the initial
underwriting for a particular stock.
SEC : It is an independent federal government agency responsible for protecting investors,
maintaining fair and orderly functioning of securities markets and facilitating capital formation.
Financial services firms, such as broker-dealers, advisory firms and asset managers, as well as
their professional representatives, must also register with the SEC to conduct business.
ans 31. e. intellectual property
Intellectual property (IP) is a category of property that includes intangible creations of the human
intellect, and primarily encompasses copyrights, patents, and trademarks. It also includes other
types of rights, such as trade secrets, publicity rights, moral rights, and rights against unfair
competition.Some kinds of intellectual property are considered capital assets and may be
recorded on a company's balance sheet as intangible assets. Intellectual property is a fairly broad
term and can take many different forms. Examples of intellectual property include patents,
trademarks, copyrights, trade secrets or unique ideas