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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 NOT a purpose served by a professional organization's code of conduct?

A) It serves as a reference and benchmark for ethical guidance
B) It provides more direct solutions to professional ethical dilemmas than might exist under general ethical principles
C) It replaces the need for individuals to consult their own conscience.
D) It facilitates practical enforcement and profession-wide Internal discipline.

2. Which of the following is TRUE regarding the communication of the fraud risk assessment process?

A) The communication should be made in a format mat is most appropriate for the culture of the organization
B) The communication should be visibly disseminated throughout the business
C) All of the above
D) The more personalized the communication, the more effective it will be in encouraging employees to participate

3. ArtisanWare, Inc. is a retailer of high-end kitchen supplies. The company receives a very large order from EFG Company, a new customer in a different country that wants to pay on credit.
Which of the following is MOST ACCURATE regarding the due diligence procedures that ArtisanWare should perform on EFG before proceeding with this transaction?

A) ArtisanWare should perform the same level of due diligence as it would for any other customer to avoid claims of discrimination.
B) ArtisanWare only needs to undertake due diligence procedures if EFG conducts business in countries with known corruption risks.
C) ArtisanWare does not need to take any specific procedures to verify EFG's identity before accepting the transaction.
D) ArtisanWare should examine EFG's net worth as part of deciding whether to allow the purchase on credit.

4. XYZ, Inc. Is a specialty retailer of high-end ergonomic office furniture. The company receives a very large order from ABC Company, a new customer in a different country that wants to pay on credit. Which of the following is MOST ACCURATE regarding the due diligence procedures XYZ should perform on ABC before proceeding with this transaction?

A) XYZ does not need to take any specific procedures to verify ABC's identity before accepting the transaction
B) XYZ should perform the same level of due diligence as it would for any other customer to avoid claims of discrimination
C) XYZ only needs to undertake due diligence procedures if ABC conducts business in countries with known corruption risks.
D) XYZ should examine ABC's net worth as part of deciding whether to allow the purchase on credit.

5. Reporting known incidents of fraud to law enforcement can be an effective fraud prevention mechanism.

A) False
B) True

Solutions: