Final answer:
The statement that incorrectly increasing a customer's discount is an example of incorrect data modification is generally true but can depend on the context. In database management systems, it's a true statement representing error in data handling. In contexts where employee discretion is involved, the statement might not hold true.
Step-by-step explanation:
Incorrectly increasing a customer's discount is an example of incorrect data modification. The statement provided can be evaluated as either true or false depending on the context.
True: In the context of database management or information systems, an incorrect data modification refers to an error in updating, inserting, or deleting data. If an employee accidentally increases a customer's discount when they are not supposed to, this would indeed be a case of incorrect data modification because the data (discount rate) has been changed in error.
False: However, if the context relates to a customer service policy whereby employees have discretion over discounts, and an employee offers a higher discount within allowable limits, it would not be considered incorrect data modification. It would simply be a business decision.