Expert Answers to ACFE Exam CFE-Fraud-Prevention-and-Deterrence Questions

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Certified Fraud Examiner Certified Fraud Examiner - Fraud Prevention and Deterrence Exam

Certified Fraud Examiner - Fraud Prevention and Deterrence Exam

Last Update Apr 2, 2025
Total Questions : 176

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Questions 2

Which of the following is a best practice to ensure a successful fraud reporting program?

Options:

The company should communicate that fraud, waste, and abuse are more likely to occur in large organizations than small ones.

The company should require employees with information about potential fraud to report it directly and only to their immediate supervisor.

Employees are held accountable for reporting tips that are not able to be substantiated

Employees should be informed that, to the extent possible, their names will not be disclosed.

Discussion 0

Questions 3

An effective system of anti-fraud controls

Options:

Fully eliminates the risk of fraud

Focuses more on detective controls than preventive controls

Focuses more on preventive controls than detective controls

Increases the perception that fraud will be detected

Discussion 0

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Questions 4

Management at ABC Corp. is assessing the company's ethical tone and how it affects the organization's fraud risk. To MOST EFFECTIVELY reinforce an anti-fraud culture, management should:

Options:

Use a checklist of initiatives to make sure all the elements of a strong tone at the lop are in place

Create an environment in which employees are dissuaded from challenging management's decisions

Visibly adhere to the same set of ethics policies that is required of all employees

All of the above

Discussion 0

Questions 5

Andrew, an internal auditor, is formalizing a process to identify and evaluate threats to his company’s ability to achieve its objectives. Andrew's initiative BEST pertains to which component of the Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Internal Control—Integrated Framework?

Options:

Monitoring

Control environment

Risk assessment

Control activities

Discussion 0

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