CFE-Fraud-Prevention Test Duration - CFE-Fraud-Prevention Latest Test Answers

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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Understanding Criminal Behavior	5–10%	- Behavior modification principles - Theories of crime causation 1. Rational choice and routine activities theory 2. Social control and social learning theory 3. Differential association theory
Management's Fraud-Related Responsibilities	5–10%	- Establishing anti-fraud policies - Reporting mechanisms - Oversight and accountability
Fraud Prevention Programs	15–20%	- Monitoring and continuous improvement - Designing prevention strategies - Communication and training
Fraud Risk Assessment	15–20%	- Risk identification methodologies - Assessment implementation and documentation - Risk analysis and prioritization
Corporate Governance	20–25%	- Governance frameworks and principles 1. Treadway Commission (COSO) 2. OECD guidelines - Roles of board, management, auditors - Internal control systems 1. COSO five components
White-Collar Crime	15–20%	- Legal prosecution and sanctions - Causal factors and opportunity structures - Definition and characteristics - Organizational vs occupational crime - Impact on organizations and society
Professional Ethics	5–10%	- Ethical decision-making - Conflicts of interest and integrity - ACFE Code of Professional Ethics

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q117-Q122):

NEW QUESTION # 117
In the context of a fraud examination, integrity requires which of the following?

A. Prioritization of desires for personal gain over the interests of clients
B. A well-developed sense of moral philosophy and the ability to distinguish right from wrong
C. The ability to conceal errors to preserve the reliability of the work performed
D. Avoidance of differences of opinion on all material matters

Answer: B

NEW QUESTION # 118
Which of the following is TRUE regarding International Standard on Auditing (ISA) 240?

A. ISA 240 establishes auditors as being primarily responsible for implementing anti-fraud internal controls within an organization.
B. ISA 240 provides guidance regarding the auditor's responsibility to consider fraud in an audit of financial statements.
C. ISA 240 creates requirements for the board of directors regarding the establishment of a holistic fraud risk management program.
D. ISA 240 requires auditors to effectively educate the staff about the risk of fraud within the audited organization.

Answer: B

NEW QUESTION # 119
Which statement BEST describes fraud deterrence?

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

Answer: D

Explanation:
Fraud deterrence works by reducing opportunities and increasing the perceived likelihood of detection. Effective deterrence includes strong controls, ethics programs, monitoring systems, training, reporting mechanisms, and consistent enforcement.

NEW QUESTION # 120
Jenny is a highly respected employee at XYZ Corp. Her husband's gambling addiction has caused them to have a significant amount of debt. Jenny begins stealing money from the company to cover her husband's gambling losses. This situation best illustrates which leg of the Fraud Triangle?

A. Perceived non-shareable financial need
B. Perceived opportunity
C. Perceived acquiescence
D. Rationalization

Answer: A

Explanation:
Fraud Triangle Components:
The fraud triangle consists of perceived opportunity, rationalization, and perceived financial need.
Perceived non-shareable financial need refers to personal pressures, such as debt or addiction, that motivate fraudulent behavior.
Why D is Correct:
Jenny's actions are driven by her inability to share her financial struggles (her husband's gambling debts) with others, aligning with the perceived financial need leg of the fraud triangle.

NEW QUESTION # 121
According to social control theory, which of the following questions are people MOST LIKELY to ask themselves when considering the possibility of violating the law?

A. "How can I prevent someone from learning what I did?"
B. "Will I lose my job if my actions are discovered?"
C. "What will my parents think if they find out?"
D. "How likely am I to be punished for this crime?"

Answer: C

NEW QUESTION # 122
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