Online Access Free CFE-Fraud-Prevention Practice Test

According to modern criminological studies, which of the following is the determinant aspect of white-collar crime?

• A.Criminal history
• B.Cultural ties
• C.Organizational opportunity
• D.Social class

Which of the following is TRUE regarding a background check policy for employees?

• A.As part of the screening process, management should contact the personal and professional references provided by the job candidate only if they are unsure whether the candidate is being honest.
• B.If a background check was conducted on an employee at the time of hire, then there is no need for management to conduct additional background checks on that employee during their employment.
• C.Management should perform a background check on any candidate who will have access to cash, checks, credit card numbers, or other items that are easily stolen.
• D.When verifying past employment, management should only ask previous employers to verify the candidate's previous position and dates of employment.

Grace, a Certified Fraud Examiner (CFE), has accepted her first fraud examination engagement.
Before beginning the investigation, she reviews the ACFE Code of Professional Ethics to ensure that her behavior will comply with the Code. Which of the following actions is explicitly prohibited by the ACFE Code of Professional Ethics?

• A.Participating in an activity with an undisclosed conflict of interest
• B.Engaging in an activity that is legal within her jurisdiction
• C.Giving opinions regarding technical matters
• D.Providing conclusions based on discovered evidence

In the context of a fraud examination, integrity requires all of the following EXCEPT:

• A.Avoidance of conflicts of interest
• B.Trustworthiness
• C.Refusal to admit errors
• D.A well-developed sense of moral philosophy

Which of the following is TRUE regarding proactive fraud auditing procedures?

• A.Surprise audit procedures are an effective fraud detection mechanism, but they do not help prevent fraud
• B.Analytical review of the financial statements is best used to uncover small frauds that might be missed by other detection methods.
• C.Fraud assessment Questioning techniques are most appropriately used when attempting to determine who might be responsible for a particular fraud scheme.
• D.Implementing proactive fraud audit procedures demonstrates the organization's intention to aggressively look for possible fraudulent conduct.