Real ACFE CFE-Fraud-Prevention PDF Questions [2026] - Get Success With Best Results

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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Fraud Prevention and Deterrence	25%	- Fraud deterrence strategies and controls - Fraud prevention programs and frameworks - Fraud risk assessment - Ethics and corporate governance - Fraud risk governance and organizational culture - Internal control systems and evaluation - Monitoring, auditing, and continuous improvement - Whistleblowing and reporting mechanisms - Anti-fraud policies and procedures

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q209-Q214):

NEW QUESTION # 209
Which of the following Is FALSE regarding a fraud risk assessment?

A. The objective of the assessment is to provide an estimate of the organization's fraud losses.
B. The assessment team should consider how employees behave as part of Its assessment
C. The assessment should be used to improve employee fraud awareness.
D. The designation of an area as being high risk does not conclusively mean that fraud is occurring there.

Answer: A

Explanation:
Purpose of Fraud Risk Assessment:
Fraud risk assessment aims to identify vulnerabilities and evaluate the organization's exposure to fraud risks. It does not specifically provide an estimate of fraud losses.
Why D is Correct:
Estimating fraud losses is not a standard objective of fraud risk assessments; rather, they focus on identifying and mitigating risks.

NEW QUESTION # 210
Cho, an internal auditor, and Pierre, a sales manager, have had several disagreements about the sales tactics used by Pierre's team. Cho has just been told that she will lead the company's fraud risk assessment. During the fraud risk assessment, Cho should:

A. Include her disagreements with Pierre as a factor when assessing the risk of fraud in the sales function.
B. Request that someone else perform the fraud risk assessment work that is related to the sales function's activities.
C. Automatically designate the sales function as a high-risk area.
D. Confront Pierre about the disagreements and discuss how they increase the company's risk of fraud.

Answer: B

NEW QUESTION # 211
_____________Is the criminological theory that presents crime as a conscious decision that can be deterred by reducing opportunities for criminal activity and increasing the personal risk to an Individual of being caught and punished.

A. Differential association theory
B. Justification of action theory
C. Routine activities theory
D. Rational choice theory

Answer: D

Explanation:
Rational Choice Theory Overview:
This theory asserts that individuals make conscious decisions to commit crimes after weighing the costs (risk of detection and punishment) and benefits.
Why D is Correct:
Rational choice theory aligns with strategies to deter crime by reducing opportunities and increasing personal risks.

NEW QUESTION # 212
Smith, a retail sales manager, wants to decrease the level of cash register over-and-short discrepancies among his sales team. According to behaviorist theories, which of the following options would be the MOST EFFECTIVE way for Smith to encourage his team members to keep their cash drawers in balance?

A. Publicly call out and criticize employees whose cash drawers are over or short.
B. Take away an hour of paid time off for each time the drawer is over or short
C. Offer a bonus to anyone whose drawer reconciles perfectly for sixty days.
D. Demote employees who continue to have reconciliation discrepancies

Answer: C

Explanation:
Positive reinforcement is the most effective way to encourage desired behavior by providing rewards for compliance.

NEW QUESTION # 213
During an external audit of an organization's financial statements. Peter, the external auditor, uncovers significant internal control deficiencies at the audit client's organization. He believes these deficiencies could result in a material misstatement of the financial statements. Which of the following should Peter do with regard to these findings?

A. Peter should make a public announcement that he is withdrawing from the audit engagement.
B. Peter should discreetly work with senior management to correct the underlying internal control deficiencies.
C. Peter should provide a written communication about the findings to those charged with governance.
D. Peter should report the findings in writing directly to the appropriate regulatory agencies

Answer: C

Explanation:
Auditor's Responsibility Under ISA Standards:
ISA 265 requires auditors to communicate significant deficiencies in internal control to those charged with governance in writing.
This ensures proper corrective actions are taken and maintains transparency in the audit process.
Why B is Correct:
Written communication to governance authorities is the appropriate course of action to address control deficiencies without breaching confidentiality or overstepping regulatory boundaries.

NEW QUESTION # 214
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