ACFE CFE-Fraud-Prevention-and-Deterrence Exam Practice Test Instant Access

Question 1

[Fraud Risk Management]

During a fraud risk assessment, the assessment team is seeking information on the ethical tone set by upper and middle managers. The team members determine that, for this task, they would like to get candid one-on-one feedback from employees away from their peers. Which of the following techniques would be most helpful for them to use in gathering this information?

AInterviews

BFocus groups

CAnonymous feedback mechanisms

DSurveys

Answer : A

Question 2

[Ethical Responsibilities of the Fraud Examiner]

Which of the following scenarios is LEAST LIKELY to be considered a conflict of interest that is prohibited under the ACFE Code of Professional Ethics?

ALori accepts an assignment to infiltrate her employer and transmit inside information to a competitor.

BRen undertakes an external engagement that requires him to work outside the normal work hours of his primary employer.

CDeVon undertakes engagements for both sides in a case of an alleged fraudulent warranty scheme.

DKaren accepts an assignment to search for fraud indicators at an organization in which she is an undisclosed partner.

Answer : B

Question 3

[Fraud Risk Management]

According to ACFE research, which of the following is TRUE?

AMen commit significantly more frauds than women do.

BMost fraudsters have previous criminal convictions for fraud-related offenses.

CAn unwillingness to share duties is the most reported red flag displayed by fraud perpetrators prior to the detection of their crime.

DFrauds committed by staff-level employees cause higher median losses than those committed by owners and executives.

Answer : C

Question 4

[Corporate Governance]

According to the Committee of Sponsoring Organizations of the Treadway Commission (COSO).________Is "a process.

effected by an entity's board of directors, management, and other personnel, designed to provide reasonable assurance regarding the achievement of objectives relating to operations, reporting, and compliance."

AOperational risk assessment

BInternal control

CFraud risk management

DFinancial reporting

Answer : B

Question 5

[Fraud Risk Management]

Which of the following statements about the fraud risk assessment process Is MOST ACCURATE?

AThe fraud risk assessment can be effectively conducted by people inside or outside of the organization.

BTo ensure the independence of the team members, a fraud risk assessment must be conducted by a consultant or other external party.

CIf the individuals conducting the fraud risk assessment truly believe that fraud could not happen at the organization, then the assessment process should reflect that belief.

DThe fraud risk assessment is most effective when management's influence on the process is limited

Answer : A

Question 6

[Fraud Risk Management]

Which of the following Is TRUE regarding an organization's ethics program?

ATo be most effective, access to the organization's ethics policy should be restricted to employees and other Internal parties only

BIn designing the ethics program, management should consider whether the organization currently has any ethical leadership Issues

CAn effective written ethics policy alone is sufficient to communicate management's ethical philosophy and serve as a comprehensive ethics program

DAll of the above

Answer : B

Question 7

[Corporate Governance]

Aqua Corp.'s board of directors is meeting to discuss fraud risk management within the organization. Which of the following activities is among the board of directors' primary responsibilities related to fraud risk management for the company?

AOverseeing the organization's fraud risk management activities.

BMonitoring and proactively improving the fraud risk management program.

CPerforming and regularly updating the fraud risk assessment.

DImplementing the fraud risk management program throughout the organization.

Answer : A

ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence CFE-Fraud-Prevention-and-Deterrence Exam Practice Test