The process of transferring money from one bank account to another and improperly recording the transaction is referred to as:
A) embezzling.
B) scamming.
C) kiting.
D) lapping.

Question

Quizplus · Accepted Answer

The process described is known as kiting, which involves transferring money between accounts and improperly recording the transactions in order to inflate the apparent balance of one or both accounts. Embezzling involves stealing money that is entrusted to one's care, while scamming refers to fraudulent schemes designed to deceive people out of money. Lapping involves covering up theft by applying payments from one account to another to disguise missing funds.

The Process of Transferring Money from One Bank Account to Another