Question

Which of the following is not an example of vendor fraud?

A. A vendor bills for goods not provided.
B. A vendor overcharges for a contracting job which it completed on time.
C. A vendor bills for services not performed.
D. A vendor has much higher prices than its competitors.

Answer 1

A vendor having much higher prices than competitors, option D, is not an example of vendor fraud; unlike the other options listed, this scenario does not necessarily involve deceit or unlawful behavior.

Step-by-step explanation:

The correct answer to the question "Which of the following is not an example of vendor fraud?" is D. A vendor has much higher prices than its competitors. Vendor fraud typically involves deceitful practices, like billing for goods not provided or services not performed, or overcharging for goods and services provided. However, a vendor simply having higher prices than competitors does not constitute fraud; it could be a reflection of higher quality, better service, brand reputation, or other legitimate business reasons. Vendor fraud usually requires an element of deception, misrepresentation, or unlawful behavior, which is not inherently present in the scenario described by option D.