Eric Wilson works at Lime Inc. He used Lime Inc.'s Sam's Club card to make personal purchases. Immediately before the company paid the bill for the Sam's Club charges each month, Eric placed his receipt in with the legitimate work-related receipts for Sam's Club. The accounts payable clerk rarely verified that the receipts were signed by authorized employees or that the purchases were actually for work-related items. What type of fraud is this? Forged maker Pay and return Personal purchases Pass-through
Eric Wilson works at Lime Inc. He used Lime Inc.'s Sam's Club card to make personal purchases. Immediately before the company paid the bill for the Sam's Club charges each month, Eric placed his receipt in with the legitimate work-related receipts for Sam's Club. The accounts payable clerk rarely verified that the receipts were signed by authorized employees or that the purchases were actually for work-related items. What type of fraud is this? Forged maker Pay and return Personal purchases Pass-through
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter7A: Internal Controls
Section: Chapter Questions
Problem 4SPA
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Question
![Eric Wilson works at Lime Inc. He used Lime Inc.'s Sam's Club card to make personal
purchases. Immediately before the company paid the bill for the Sam's Club charges
each month, Eric placed his receipt in with the legitimate work-related receipts for
Sam's Club. The accounts payable clerk rarely verified that the receipts were signed
by authorized employees or that the purchases were actually for work-related items.
What type of fraud is this?
Forged maker
Pay and return
Personal purchases
Pass-through
4](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F774cc197-f9bf-48c3-9a6f-5feb1caa89e4%2F7c33af90-b65a-47df-857d-37e9ea1b4de6%2Fxncjbyk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Eric Wilson works at Lime Inc. He used Lime Inc.'s Sam's Club card to make personal
purchases. Immediately before the company paid the bill for the Sam's Club charges
each month, Eric placed his receipt in with the legitimate work-related receipts for
Sam's Club. The accounts payable clerk rarely verified that the receipts were signed
by authorized employees or that the purchases were actually for work-related items.
What type of fraud is this?
Forged maker
Pay and return
Personal purchases
Pass-through
4
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