Which statement about cash schemes is TRUE?

Skimming schemes are generally more difficult to detect than cash larceny schemes for several reasons. Skimming involves the theft of cash before it is recorded in the company's financial records, meaning that there is often no corresponding entry to identify the discrepancy. This allows individuals committing skimming to conceal the theft more effectively since the cash never actually enters the accounting system.

In contrast, cash larceny involves the theft of cash that has already been recorded in the company's books. Since there is an existing record of cash that should be available, it typically creates a clear discrepancy that can be traced back through the accounting system, making it easier to identify and detect.

The difficulty in detecting skimming is compounded by the potential for collusion or manipulation of records, where employees may alter accounting documents or engage in other deceptive practices to cover their tracks. This inherent nature of skimming leads to a more subtle form of fraud that can go unnoticed for a longer period, emphasizing why this statement about skimming being difficult to detect is accurate.