ASSEST MISAPPROPRIATION

Question 1

What are two types of cash receipts schemes

Answer 1

Skimming and larceny

Question 2

What is skimming also known as?

Answer 2

off-books fraud

Question 3

Two types of sales skimming

Answer 3

Unrecorded sales scheme and Understated sales scheme

Question 4

Unrecorded sales scheme

Answer 4

sells goods to customer, makes no record

Question 5

Understated sales scheme

Answer 5

transaction posted to books for lower amount

Question 6

What does skimming receivable show up as

Answer 6

absent payments looks delinquent

Question 7

How do you detect Skimming Schemes

Answer 7

Physical Inventory or Journal entry review

Question 8

Elements of journal review

Answer 8

write off lost, stolen, obsolete inventory, account receivable

Question 9

How to prevent skimming schemes

Answer 9

reconciling physical inventory count with perpetual inventory (shrinkage)

Question 10

What is cash larceny from deposit

Answer 10

employee supposed to take checks to bank and takes portion of money before making deposit