ACFE CFE-Fraud-Prevention

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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Sample Questions:

1. Which of the following is TRUE regarding proactive fraud auditing procedures?

A) Implementing proactive fraud audit procedures demonstrates the organization's intention to aggressively look for possible fraudulent conduct.
B) Surprise audit procedures are an effective fraud detection mechanism, but they do not help prevent fraud
C) Fraud assessment Questioning techniques are most appropriately used when attempting to determine who might be responsible for a particular fraud scheme.
D) Analytical review of the financial statements is best used to uncover small frauds that might be missed by other detection methods.

2. According to the routine activities theory, all of the following are important elements that influence crime EXCEPT:

A) The availability of suitable targets
B) The presence of motivated offenders
C) The absence of capable guardians
D) The lack of accountability for misdeeds

3. According to the Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Internal Control-integrated Framework (the Framework), there are five interrelated components of a company's internal control. Which of the following is NOT among these five components?

A) Information and communication
B) Monitoring
C) Control environment
D) Independent oversight

4. Which of the following is one of the three general methods used to control corporate crime?

A) Loss of funding from financial institutions
B) Pressure from changes in the competitive environment
C) Lowered regulatory enforcement by the government
D) Demands from consumers to change

5. A company's anti-fraud controls are well designed, but management rarely enforces them and routinely ignores policy violations. Which statement is MOST accurate?

A) Fraud risk remains low because the controls exist
B) Fraud risk increases because control enforcement is weak
C) The controls automatically compensate for management behavior
D) Fraud risk depends only on employee ethics

Solutions: