ACFE EXAMS ANSWERED AND BUNDLED

According to The Institute of Internal Auditors' International Standards for the Professional Practice of Internal Auditing, due professional care implies infallibility. A. True B. False - False Which of the following is true regarding organizational structure? A. Companies with departmen...

Examples of electronic funds transfers include all of the following, except: - Check kiting Advantages of electronic payments include all the following, except: - Eliminates payment fraud The elderly are often targets of telemarketing schemes for all of the following reasons, except: - They...

Redemption scheme - buy insurance with bad assets, claim later for legit money Insurance prepayment scheme - make advance payments to store money, take out later in legit money Chapter 7 Bankruptcy - debts eliminated, liquidate assets Deferred prosecution agreement - file charges but pr...

An interview of an adverse witness is being tape recorded by the interviewer with the consent of the interviewee. It is generally not necessary to? - Volunteer to give the witness a copy of the tape. On March 5, a CFE contacts a witness to arrange an interview. The witness initially seems hesita...

Percentage of annual revenue lost - 5% Categories of fraud based on how common they each are in occurrence - Misappropriation of assets Corruption Financial Statement Fraud Cost Per occurrence - Misappropriation of assets - 120,000 Corruption - 250,000 Financial Statement Fraud 1,000,00...

Asset Turnover Ratio - net sales/average total assets Historical Cost - The proper basis for initially recording a piece of equipment on a company's books. GAAP vs. IFRS - _ GAAP more "rule-based" _ IFRS more "principle-based" - More simple Statement of Cash Flows- 3 Activities - ...

Detecting illegal acts - The Private Securities Litigation Reform Act (PSLRA), passed in 1995, sets forth several responsibilities for independent auditors of public companies. One of the requirements is that each audit of the financial statements of a public company includes procedures designed to...

During an admission-seeking interview of a fraud suspect, Gary, a Certified Fraud Examiner (CFE), accuses the suspect of having committed a fraud. Gary's accusation violates the ACFE Code of Professional Ethics. T/F - false Under the ACFE Code of Professional Ethics, information provided to a f...

Indemnity bond - reimburses its holder for any loss to third-party beneficiaries when the insured fails to fulfill a specific undertaking for the third party's benefit. Casualty insurance - indemnifies against legal liability to others for injury or damage to persons, property, or other define...

"Placement" of funds is the initial step in the money laundering process. It is the step in which the funds are deposited into a financial institution or taken out of the country. If a money laundering scheme is detected, it is most often detected at this stage. "Layering" involves the creation ...

Fraudulent Disbursements includes: - Register Disbursement Schemes False Refunds False voids Check tampering schemes Electronic Payment Tampering What is included under False Refunds? - Fictitious refunds - No actual return, cash taken directly from register Credit card refund - ...

When taking a signed statement from a suspect who has admitted guilt, the CFE must always have the statement notarized. - False When preparing an interview room, which is/are the LEAST important of all considerations? - the types of locks on the doors When introducing him- or herself, the in...

Which of the following is not a required legal element of a claim of defamation? A. A false statement about a plaintiff B. Communicated to a third party C. The statement is highly offensive D. The plaintiff suffered harm - C A good interviewer will always prepare a script of all questions to...

Effective training programs - U.S. Corporate Sentencing Guideline makes them necessary, also periodically & appropriately communicate program's compliance requirements & procedures to all employees affected by the program, including upper-level personnel - Programs: inform employees about company...