6. Lapping almost always goes beyond robbing Peter to pay Paul. Once the first attempt is successful, lapping tends to increase at exponential rates. Now, the fraudster has to steal from other customers. Then, there are many accounts to keep track of. The more lapping occurs, the greater the chance of making a mistake.

MULTIPLE CHOICE

True or false

7. True of false? Lapping is a skimming method that is doomed to failure over time.

MULTIPLE CHOICE

True or false

9. Lapping schemes require constant manipulation of the accounts receivable in order to avoid detection.

MULTIPLE CHOICE

True or false

13. True of false? Checks are likely to be stolen if a single employee is in charge of opening the mail and preparing the deposit.

MULTIPLE CHOICE

True or false

14. Which of the following is the most effective control to prevent accounts receivable skimming?

MULTIPLE CHOICE

		a. Prepare a bank reconciliation.
		b. Provide the customer a receipt.
		c. Separate the functions of the person handling the cash and the person keeping the books.
		d. Safeguard blank checks.