This preview shows page 1. Sign up to view the full content.
Unformatted text preview: is using to inflate their own revenues. When there was no intent to repay the loan, it is known as round tripping, a type of fraud used to inflate revenues. (B) Yes, the effects would be different if London Company repaid the loan. (C) The effects would be different if London Company repaid the loan, because Paris Company wouldnt be shipping products for free and would not lose the money they loaned in the first place. They would not be suffering their own loss in revenues. Wendy Eller...
View Full Document
This note was uploaded on 12/08/2009 for the course AC114 AC114 taught by Professor Duchac during the Fall '09 term at Kaplan University.
- Fall '09