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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Sample Questions:

1. Which of the following is the BEST reason to perform fraud risk assessments periodically?

A) Business processes, personnel, and risks change over time
B) External audits eliminate the need for updates
C) Fraud risks remain constant over time
D) Regulations prohibit reassessment

2. According to criminologist Charles McCaghy, which of the following is the most compelling factor behind deviance by organizations?

A) Executive failures
B) Unethical corporate culture
C) Profit pressure
D) Excessive regulatory requirements

3. As part of its anti-fraud program, Elm Company is outlining the responsibilities of different stakeholders. Who is ultimately responsible for ensuring the effectiveness of the organization's anti- fraud program?

A) Management
B) Internal auditors
C) The compliance function
D) Forensic accountants

4. "Crimes of the Middle Classes" finds that all the following factors have contributed to the rising problem of economic crime EXCEPT:

A) The economy's decreased reliance on credit and a decline in personal debt.
B) Advancement of information technologies increasing the opportunity for misconduct.
C) Media sources sending the message that no one has to settle for second best.
D) The increase in funds available from government assistance programs.

5. Julia, an internal auditor, is formalizing a process to evaluate the effectiveness of the company's control system over time, including both ongoing evaluations and periodic, separate evaluations.
Julia's initiative BEST pertains to the component of the Committee of Sponsoring Organizations of the Treadway Commission's COSO Internal Control--Integrated Framework the Framework:

A) Risk assessment
B) Monitoring
C) Control environment
D) Control activities

Solutions: