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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Fraud Prevention and Deterrence | 25% | - Fraud risk assessment - Monitoring, auditing, and continuous improvement - Internal control systems and evaluation - Fraud deterrence strategies and controls - Fraud risk governance and organizational culture - Ethics and corporate governance - Fraud prevention programs and frameworks - Anti-fraud policies and procedures - Whistleblowing and reporting mechanisms |
ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Sample Questions:
Which of the following statements is MOST ACCURATE regarding an effective system of anti- fraud controls?
- A. It prioritizes implementing detective controls over preventive controls.
- B. It deters fraudsters by increasing the perception that fraud will be detected.
- C. It fully eliminates the risk of fraud by removing opportunities for misbehavior.
- D. It focuses more on preventive controls than detective controls.
Correct Answer: B 🗳️
During an external audit of an organization's financial statements. Peter, the external auditor, uncovers significant internal control deficiencies at the audit client's organization. He believes these deficiencies could result in a material misstatement of the financial statements. Which of the following should Peter do with regard to these findings?
- A. Peter should provide a written communication about the findings to those charged with governance.
- B. Peter should discreetly work with senior management to correct the underlying internal control deficiencies.
- C. Peter should report the findings in writing directly to the appropriate regulatory agencies
- D. Peter should make a public announcement that he is withdrawing from the audit engagement.
Correct Answer: A 🗳️
Explanation: Only visible for DumpsQuestion members. You can sign-up / login (it's free).
Which of the following is FALSE regarding an organization's anti-fraud policy?
- A. One of the most important considerations in developing the anti-fraud policy is to ensure every allegation is handled in a uniform manner.
- B. To avoid legal problems in discharging employees, the anti-fraud policy should not include any specific examples of frau and misconduct.
- C. A detailed anti-fraud policy can make it easier to investigate and punish employees who commit fraud and other dishonest acts.
- D. In developing the anti-fraud policy, management should check with legal counsel regarding any legal considerations with respect to the policy.
Correct Answer: B 🗳️
Explanation: Only visible for DumpsQuestion members. You can sign-up / login (it's free).
Fraud risks related to regulatory and legal misconduct include all of the following EXCEPT:
- A. Fraudulent customer payments
- B. Conflicts of interest
- C. Insider trading
- D. Anti-competitive practices
Correct Answer: A 🗳️
Explanation: Only visible for DumpsQuestion members. You can sign-up / login (it's free).
The internal auditor's fraud-related responsibilities include which of the following?
- A. Reporting to regulators regarding the entity's vulnerability to fraud.
- B. Overseeing management's actions to manage fraud risks.
- C. Issuing a report asserting that the organization's financial statements do not contain material misstatements caused by fraud.
- D. Evaluating the organization's structures and process for fraud risk governance.
Correct Answer: D 🗳️
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