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2022 CFE-Fraud-Prevention-and-Deterrence Certification, Exam CFE-Fraud-Prevention-and-Deterrence Question | Simulations Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Pdf
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NEW QUESTION 47
According to Diane Vaughan, which of the following factors increases an organization's inherent inclination toward committing crime?
- A. Management seeks out diversity in attitudes and perspectives when hiring employees
- B. Rewards are given to employees who challenge the status quo
- C. Management links employee performance goals with company performance goals
- D. All of the above
Answer: C
NEW QUESTION 48
In response to a risk identified during a fraud risk assessment, management decides to implement additional internal control measures. This response is known as:
- A. Transferring the risk
- B. Mitigating the risk
- C. Avoiding the risk
- D. Assuming the risk
Answer: B
NEW QUESTION 49
Which of the following is an example of organizational crime?
- A. Management of several pharmaceutical companies engaging in a price fixing scheme
- B. An insurance claims agent conspiring with customers to file false insurance claims and share the proceeds
- C. An HR employee adding a ghost employee to the payroll and misappropriating the paychecks
- D. A sales manager using a corporate credit card for personal expenses
Answer: A
NEW QUESTION 50
Which of the following is TRUE regarding government auditors' responsibilities to report evidence of potential fraud uncovered during an audit of a public-sector organization's financial statements?
- A. Government auditors are legally prohibited from reporting evidence of potential fraud to any parties outside the organization being audited.
- B. The requirements for government auditors to report evidence of potential fraud depend on the jurisdiction and the specific audit mandate.
- C. All government auditors maintain the same requirements for reporting evidence of potential fraud uncovered during a public-sector financial statement audit.
- D. Government auditors' reporting requirements pertaining to fraud are substantially the same as those for external auditors in the private sector.
Answer: B
NEW QUESTION 51
Which of the following would most likely be a violation of the ACFE Code of Professional Ethics?
- A. Green, a CFE. uncovered several material internal control deficiencies unrelated to the financial statement fraud he was investigating. In his final report to management. Green included information about the deficiencies even though they were unrelated to the situation he was hired to investigate.
- B. Susan, a CFE was hired by a client to conduct a fraud examination but found nothing amiss A year later, she received a legal order from the local prosecutor's office to provide the client's file Susan complied with the court order, even though she did not have the client's authorization to do so
- C. Stephanie, a CFE. accepted a fraud examination assignment and then instructed a lower-level employee to assess the company's cash records for signs of fraud She took his word when he said there was no evidence of wrongdoing and ended up failing to uncover a very costly fraud scheme.
- D. All of the above are violations
Answer: C
NEW QUESTION 52
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