Question

Rhonda breaks her arm while skateboarding. She tells her boss that she slipped and fell while working. What type of financial crime is she trying to commit?
A. identity theft
B. embezzlement
C. tax evasion
D. insurance fraud

Answer 1

Answer:

A. identity theft

Explanation:

A financial crime can be defined as any form of criminal activity perpetrated by an individual or illegitimate business organization for the purpose of acquiring illegal financial gains or benefits. These criminal activities have a negative impact on the growth and development of the economy.

Some examples of the most common form of financial crimes experienced around the world are money laundering, identity theft, corruption, and terrorist financing.

Hence, the various types of financial crimes include the following;

I. Embezzlement.

II. Money laundering.

III. Tax evasion.

IV. Insurance fraud.

V. Identity theft.

Identity theft can be defined as situation in which a person uses another person's details or personal informations without an express permission while engaging in an illegitimate activity. Also, identity theft is an act of deceit which involves a misrepresentation of an event, issue or situation.

In this scenario, Rhonda breaks her arm while skateboarding but she told her boss that she slipped and fell while working. Thus, the type of financial crime she is trying to commit is an identity theft.