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Joe Baker, the runner for a small coffee shop, had a bad habit of helping himself to cash from the deposit on the way to the bank. He covered his tracks by substituting a check from the next day's deposit for the amount he stole from the previous day's deposit. This is an example of what type of concealment?a. Deposits in transitb. Deposit lappingc. Force balancingd. None of the above

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Answer:

The correct answer is letter "B": Deposit lapping.

Explanation:

Deposit lapping is the fraudulent act in which an individual alters accounts receivables -typically in the form of checks, to cover transactions for cash that has been stolen. The individual takes the following account receivable to cover the theft over and over for as many times as he wishes.

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