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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Topic 1: Corporate Governance and Ethics	25%	- Code of conduct and compliance programs - Ethical culture and tone at the top
Topic 2: Internal Controls and Fraud Prevention	25%	- Fraud detection and prevention controls - Internal control design and effectiveness
Topic 3: Fraud Risk Management and Deterrence	25%	- Monitoring and continuous improvement - Fraud prevention strategies and programs
Topic 4: Fraud Prevention Framework	25%	- Fraud risk assessment processes - Fraud risk governance and oversight

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q257-Q262):

NEW QUESTION # 257
A fraud examiner discovers evidence suggesting possible misconduct by a senior executive. The examiner's supervisor instructs him to stop investigating and destroy his working papers. What should the examiner do?

A. Follow instructions because management has authority over the investigation
B. Destroy the working papers after documenting the request
C. Preserve the evidence and act in accordance with professional and legal obligations
D. Ignore the evidence because it involves senior management

Answer: C

Explanation:
Professional standards require fraud examiners to maintain integrity and exercise due professional care. Destroying evidence could compromise the investigation and potentially violate legal obligations. Evidence should be preserved and handled according to applicable policies and laws.

NEW QUESTION # 258
A manager intentionally overrides purchasing controls to expedite a legitimate emergency purchase. Which statement is MOST accurate?

A. Management override can create risk even when the underlying purpose is legitimate
B. Override automatically strengthens controls
C. Emergency situations eliminate control concerns
D. Management override always constitutes fraud

Answer: A

Explanation:
Management override is not necessarily fraudulent, but bypassing controls increases risk. Even legitimate exceptions should be documented, monitored, and approved to prevent abuse and preserve control effectiveness.

NEW QUESTION # 259
Which of the following is a best practice when assembling a fraud risk assessment team?

A. The size of the team should be limited to four individuals.
B. Team members should have experience in eliciting information.
C. Team members should all have similar skills and perspectives.
D. The team should include only external sources.

Answer: B

NEW QUESTION # 260
The findings in the 2020 Report to the Nations include which of the following?

A. The most commonly reported red flag displayed by fraud perpetrators prior to the detection of their crime is complaints about management.
B. The median losses caused by executives are lower than those caused by staff-level employees
C. Mote occupational frauds are committed by men than by women
D. The majority of fraudsters have been previously punished by an employer for a fraud-related offense

Answer: C

NEW QUESTION # 261
Maria, a Certified Fraud Examiner (CFE), is conducting a fraud risk assessment for a company where her brother serves as the Chief Financial Officer. Maria believes she can remain impartial.
What should she do?

A. Disclose the relationship and remove herself from the engagement if independence could reasonably be questioned
B. Continue the assessment if the board verbally approves
C. Continue the assessment because no actual fraud has been identified
D. Continue the assessment but avoid reviewing financial controls

Answer: A

Explanation:
The ACFE emphasizes both actual objectivity and the appearance of objectivity. Even if Maria believes she can remain unbiased, a reasonable third party could question her independence due to the close family relationship. Proper disclosure and reassignment help preserve confidence in the integrity of the engagement.

NEW QUESTION # 262
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