Free ACFE CFE-Fraud-Prevention Exam Dumps Questions & Answers

Luis, the internal audit manager for Oak Corporation, is working to formally incorporate the company's fraud risk assessment into its audit process. Which of the following is NOT a way that Oak's audit team should use the fraud risk assessment process and results as part of their audits?

• A.To design audit tests to evaluate whether fraud risk controls are operating effectively.
• B.To confirm whether there is conclusive evidence that fraud is occurring within the company.
• C.To inform the development of audit programs for areas that have been identified as having a high risk of fraud.
• D.To validate whether the organization is appropriately managing moderate-to-high fraud risks.

Having specialized departments within a company often increases the overall risk ot traud by the organization.

• A.False
• B.True

According to Steve Albrecht's research,______is the most common personal characteristic motivating fraudsters, and ________ is the most common organization-environment factor motivating fraudsters.

• A.Desire for recognition, lack of separation of duties
• B.Revenge: too much trust in key employees
• C.High personal debt; lack of separation of duties
• D.Living beyond their means, too much trust in key employees

Which statement BEST describes fraud deterrence?

• A.Fraud deterrence seeks to reduce the likelihood of fraud through prevention and detection measures
• B.Fraud deterrence eliminates the need for internal controls
• C.Fraud deterrence focuses only on punishment after fraud occurs
• D.Fraud deterrence guarantees fraud will never occur

Which of the following is TRUE regarding an organization's ethics program?

• A.An ethics program should avoid addressing rewards for ethical behavior and sanctions for unethical behavior
• B.Having a written ethics policy is sufficient to communicate management's ethical philosophy and serve as a comprehensive ethics program
• C.In designing the ethics program, management should consider how stakeholders throughout the organization define success
• D.To be most effective, access to the organization's ethics policy should be restricted to external parties such as vendors and customers