asked 57.4k views
5 votes
An employee causes his organization to purchase merchandise that it does not need. This is an example of what type of scheme?

a. Purchasing and receiving scheme
b. False billing scheme
c. Unconcealed larceny scheme
d. Asset requisition scheme

1 Answer

4 votes

Final answer:

The act of an employee causing an organization to purchase unnecessary merchandise is an example of a false billing scheme, which is a type of corporate crime. Other corporate crimes include embezzlement and larceny.

Step-by-step explanation:

An employee causing his organization to purchase merchandise that it does not need represents a form of corporate crime. This scenario is an example of a false billing scheme, where a person, in this case an employee, causes a company to pay for goods or services that are either not delivered or not required. This fraudulent activity is designed to benefit the perpetrator either directly or indirectly.

In this scenario, the employee may be creating false records or approvals to facilitate the purchase, which can lead to financial loss for the organization. Other types of corporate crimes include embezzlement, where someone with lawful custody of money or property appropriates it for personal use, and larceny, which is the theft of personal property.

answered
User Dharanidharan
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