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What describes Timesheet Fraud?

  1. Misreporting hours worked to gain extra payment.

  2. Falsifying vendor invoices for personal gain.

  3. Manipulating stock counts to cover missing inventory.

  4. Claiming reimbursement for unverified expenses.

The correct answer is: Misreporting hours worked to gain extra payment.

Timesheet fraud involves the misrepresentation of the number of hours worked by an employee, typically with the intent to receive additional payment beyond what is legitimately earned. This form of fraud can occur in various ways, such as an employee claiming hours they did not actually work, inflating the hours worked on their timesheet, or using a colleague's credentials to submit inaccurate time records. By misreporting hours, the individual seeks to unjustly benefit from the payroll system, ultimately costing the employer significant financial resources. In workplaces where timesheets are used, this type of fraud is especially relevant and can be a significant issue for organizations in terms of both financial loss and ethical considerations. The other options pertain to different types of fraud that do not specifically relate to the manipulation of work hours. Falsifying vendor invoices, manipulating stock counts, and claiming unverified expense reimbursements each involve distinct fraudulent activities that are separate from the context of employment and timekeeping.