Online Access Free CAMS7 Practice Test

According to Basel Committee guidelines, which level of the organization should determine whether or not to enter business relationships with higher risk customers?

• A.First-level management
• B.Account opening staff
• C.Middle management
• D.Senior management

A wealthy individual is using a complex corporate structure to facilitate illegal logging and then illegal mining of the resulting resources from that land. Which category of predicate crime is taking place?

• A.Trade-based money laundering
• B.Corruption
• C.Environmental crime
• D.Illicit resource trade

The Basel Committee on Banking Supervision (BCBS) is an international body consisting of senior representatives of central banks and banking regulatory authorities. Which of the following statements accurately describe guidance provided by the BCBS? (Select Three.)

• A.The Basel Committee's Core Principles include guidance on customer identification and acceptance
• B.Members of the BCBS must implement its standards or face suspension from membership
• C.The Basel Committee is composed of the 28 largest banks in the world
• D.Since the Basel Committee has no enforcement authority, it relies on the commitment of its members to carry out its guidance
• E.Basel guidance includes standards to be incorporated into local legal frameworks, guidelines for implementation, and best-practice guidance

Technology has the potential to increase the efficiency and effectiveness of AML/CFT workflows by: (Select Two.)

• A.Minimizing privacy concerns through minimized human intervention
• B.Allowing for automatic one-stop searches at the front end by analysts
• C.Eliminating backlogs through the ability to process large volumes of data
• D.Minimizing human intervention in repetitive tasks, increasing data accuracy

Professional service providers--including lawyers, accountants, investment brokers, and other third parties--may abuse their positions to facilitate money laundering. Which financial crime risks are associated with this type of abuse? (Select Three.)

• A.Opening an account to settle an estate on behalf of a client
• B.Establishing shell companies to enable money laundering activities, including placement or layering
• C.Opening third-party accounts for the primary purpose of masking the underlying client's identity
• D.Opening a trust account to facilitate a legitimate real estate transaction
• E.Directing or facilitating the laundering of illicit funds, including structuring transactions