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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 corporate governance?

A) An entity's corporate governance structure specifies the distribution of rights and responsibilities among the different participants in the organization
B) Corporate governance's primary purpose is to ensure the accuracy of the organization's financial reports
C) Effective corporate governance practices are most necessary in an organization in which the owners are also the individuals responsible for setting the corporate strategy.
D) Fraud risk management is considered to be the foundation of effective corporate governance

2. An organization discovers that a purchasing manager approved contracts for a vendor secretly owned by a close friend. The manager did not receive any payments. Which fraud risk is MOST relevant?

A) Conflict of interest
B) Payroll fraud
C) Cash larceny
D) Financial statement fraud

3. Which of the following criminological theories states that individuals make a conscious decision to commit a crime and that crime can be deterred by reducing opportunities for criminal activity and increasing an individual's personal risk of being caught and punished?

A) Rational choice theory
B) Differential association theory
C) Routine activities theory
D) Social conflict theory

4. A professional organization's code of conduct serves which of the following purposes?

A) A code facilitates practical enforcement and internal discipline throughout a profession.
B) A code provides answers to all ethical dilemmas that the organization's members might encounter.
C) A code acts as a substitute for legal and regulatory requirements that apply to the profession.
D) A code offers fewer and less direct solutions to professional ethical dilemmas than might exist under general ethical principles.

5. Joanna is leading the fraud risk assessment process for her organization. Which of the following considerations about the fraud risk assessment process is MOST ACCURATE and should be incorporated into Joanna's plans?

A) The fraud risk assessment is most effective when management's influence on the process is limited.
B) The fraud risk assessment can be conducted effectively by people inside or outside of the organization.
C) To ensure the independence of the team members, a consultant or another external party must conduct the fraud risk assessment.
D) If the individuals conducting the fraud risk assessment believe that fraud could not happen within the organization, then the assessment process should reflect that belief.

Solutions: