Which of the Following Is Not a Skimming Scheme

question 43

Multiple Choice

Which of the following is not a skimming scheme?

• A) Misappropriate customer payments and write off the receivable as "uncollectible'
• B) Intercept checks intended for a third party and convert the checks to cash for their own use
• C) Understate sales and collections by recording false or larger-than-reality sales discounts
• D) Collude with customers so that they either pay later than required or less than required

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Definitions:

Positive Cost Variance

Occurs when the actual cost of a project is less than the budgeted amount, indicating under-spending or efficiency.

Under Budget

A situation in which the actual spending is less than what was originally planned or allocated for a project or activity.

Management Reserves

Funds set aside by management for unforeseen changes in the scope or cost of a project.

Contingency Reserves

Allocated resources, time, or funds kept in reserve to address potential unforeseen obstacles or costs in a project.