ACCA BT · Chapter 8 · Question 7 of 11
Fraud is commonly said to require three prerequisites. Which of the following lists them correctly?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Dishonesty, opportunity and motive
Explanation
In the ACCA BT framework the three prerequisites for fraud are dishonesty (a willingness to act dishonestly), opportunity (for example weak controls) and motive (such as financial pressure or a grudge). This closely mirrors the 'fraud triangle' (pressure, opportunity and rationalisation), but only option A lists fraud prerequisites. Organisations aim to reduce each element, for instance by careful recruitment, strong controls and good working conditions. The other options are management functions, types of misstatement and stakeholder-mapping terms.
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