In April Lillian Redmond, the Teller Supervisor for First National

question 307

Multiple Choice

In April Lillian Redmond, the teller supervisor for First National Bank, discovers five counterfeit $20 bills in several teller drawers. In May and in June she discovers two additional counterfeit $20 bills. She has no knowledge of criminal activity on the part of any of the bank's employees or customers. She does not suspect any particular person in this transaction. Which of the following statements is true?

• A) Ms. Redmond must report the counterfeit funds on a SAR and must name the most likely individual(s) on the report.
• B) Ms. Redmond must report the counterfeit funds on a SAR but is not required to name any individual(s) on the report.
• C) Ms. Redmond need not file a SAR on this incident because the total amount is less than $25,000.
• D) Ms. Redmond need not report this incident on a SAR because each incident is less than $5,000.

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Definitions:

Demand Rate

The rate at which goods or services are requested or needed by consumers in a given market or period.

Push System

A type of inventory control system where products are manufactured or acquired based on forecasted demand, pushing products towards the consumer without immediate demand signals.

JIT

Just-In-Time, a production strategy aimed at reducing in-process inventory and associated carrying costs by producing and delivering products just as they are needed.

Service Organizations

Entities that primarily offer intangible goods to consumers through the provision of services instead of physical products.