Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

Financial Accounting

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

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Multiple Choice

A warning sign that a credit counseling agency may not be legitimate is when they promise to _____.

provide budgeting advice

eliminate all your debt instantly

help you create a debt management plan

negotiate lower interest rates with creditors

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Verified step by step guidance

Step 1: Understand the context of the problem. The question is asking about identifying a warning sign of a potentially illegitimate credit counseling agency. This involves recognizing unrealistic promises or claims.

Step 2: Analyze the options provided. Legitimate credit counseling agencies typically offer services such as budgeting advice, creating debt management plans, and negotiating lower interest rates with creditors. These are reasonable and achievable services.

Step 3: Identify the unrealistic promise. The option 'eliminate all your debt instantly' stands out as an unrealistic claim because no legitimate agency can guarantee instant debt elimination. Debt resolution typically requires time, effort, and negotiation.

Step 4: Compare the unrealistic promise with the other options. The other options ('provide budgeting advice,' 'help you create a debt management plan,' and 'negotiate lower interest rates with creditors') are standard practices of legitimate agencies, making them reasonable and not warning signs.

Step 5: Conclude that the warning sign of a potentially illegitimate credit counseling agency is when they promise to 'eliminate all your debt instantly,' as this is an unrealistic and misleading claim.