A mutual insurance company might be characterized by all of the following except:

An advantage of buying a franchise is that no initial training is necessary

Indicate whether the statement is true or false

Which of the following is not a management characteristic that increases pressure to commit fraudulent financial reporting?

A) close relationship with the current audit engagement partner and manager B) pay for performance incentives based on short-term performance measures C) high management and employee turnover D) highly optimistic earnings projections