5-4 Common Business Crimes

What is the primary motivation behind white-collar crimes?

• Financial gain

• Social status

• Revenge

• Political influence

Which of the following is an example of securities fraud?

• Forgery

• Embezzlement

• Insider trading

• Cybercrime

What is embezzlement?

• The act of taking money or property by a person to whom it was entrusted

• The creation, alteration, or falsification of documents

• The illegal practice of deceiving investors

• The unauthorized use of someone else's intellectual property

Which entity is responsible for investigating financial crimes involving tax evasion?

• IRS-CI

• SEC

• FBI

• FTC

What is a Ponzi scheme?

• A practice of price-fixing among competitors

• A type of cybercrime involving identity theft

• A method of money laundering using fake businesses

• A form of securities fraud where earlier investors are paid with new investor capital

Which of the following is NOT a form of intellectual property?

• Trademarks

• Securities

• Patents

• Trade secrets

What is the role of the Federal Trade Commission (FTC)?

• Analyzing financial transactions for domestic and international financial crimes

• Policing the U.S. financial markets

• Investigating complex financial transactions

• Protecting consumers by preventing anticompetitive, deceptive, and unfair business practices

What is false advertising?

• The use of misleading, deceptive, or blatantly untrue statements to promote a product or service

• The illegal manipulation of financial data and statements

• The unauthorized use of someone else's intellectual property

• The act of taking money or property by a person to whom it was entrusted

Which of the following is a method to prevent business crimes?

• Using insider trading

• Conducting a Ponzi scheme

• Engaging in price-fixing

• Developing a code of ethics

What is the impact of business crimes on employees?

• Improved workplace morale

• Job insecurity and damaged professional reputations

• Enhanced job security

• Increased salaries and job promotions