The following would be the best protection for an entity that wishes to prevent the lapping of trade accounts receivable:

a. ask that customers’ payment cheques be made payable to the entity and addressed to the treasurer.

b. have customers send payments directly to the entity’s bank.

c. segregate duties so that no employee has access to both the cheques from customers and currency from daily cash receipts.

d. segregate duties so that the bookkeeper in charge of the general ledger has no access to incoming mail.