Misuse of Funds

Using money in a way that was not authorized or appropriate.

It is the small-business cousin of a shaded statement, because both treat money that is not the business's yet as though it already were.

Often confused with

Fraud: Fraud deceives a reader about the numbers; misuse of funds spends money in a way that was never authorized.

Taught in

3.9 Ethics and Financial Reporting

See also

3.9.A.1 · 3.9.A.2