The process which postpones entries for the collection of receivables to conceal an existing cash shortage is referred to as:
A) computer fraud.
B) kiting.
C) cooking the books.
D) lapping.

Question

Quizplus · Accepted Answer

Lapping is the fraudulent practice of delaying the recording of accounts receivable to cover up a cash shortage. It involves taking cash from one account to cover the theft from another, creating a continuous cycle of theft and cover-up.

The Process Which Postpones Entries for the Collection of Receivables