Which action would least likely undermine the prevention of cash larceny schemes?

Prepare for the ACFE Certified Fraud Examiner (CFE) Financial Transactions and Fraud Schemes Test with our comprehensive quiz. Engage with flashcards, multiple choice questions, hints, and explanations. Ace your exam!

Allowing employees to share cash register codes is the action that least likely undermines the prevention of cash larceny schemes because it creates a significant risk of collusion and reduces accountability. When cash register codes are shared, it becomes easier for employees to manipulate transactions, cover up theft, and engage in fraudulent activities without detection.

In contrast, conducting regular surprise cash counts, implementing mandatory vacation policies, and separating cash handling duties all serve to enhance fraud prevention. Surprise cash counts act as a deterrent, as employees know they could be subject to an unexpected review of cash. Mandatory vacation policies can disrupt ongoing fraudulent activities, as employees would need to take time off, allowing others to discover irregularities. Separating cash handling duties ensures that no single employee has complete control over cash transactions, which mitigates the risks of theft and fraudulent activity. Together, these measures create a structured environment that is less conducive to cash larceny schemes.

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