The North Carolina Certified Paralegal Examination (NCCP) Practice Exam

Embezzlement specifically refers to the act of misappropriating or misusing funds or property that one has been entrusted to manage or oversee. In this context, the key element is the breach of trust by a person who has been given responsibility for that property. This differentiates embezzlement from other forms of theft, as it focuses on the betrayal of a fiduciary relationship, where the person handling someone else's assets unlawfully benefits from their position.

The other options do not capture the essence of embezzlement. Creating false records can be part of the embezzlement process, but it does not define the act itself. Wrongful termination of an employee is a labor and employment law matter, not related to the misappropriation of entrusted assets. The theft of physical items from a store pertains to shoplifting or burglary, not embezzlement, which involves a trust relationship between the perpetrator and the victim. Thus, the answer highlighting the appropriation of property by someone entrusted with it encompasses the fundamental aspect of embezzlement.