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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

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

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q204-Q209):

NEW QUESTION # 204
In Ihe context of fraud examination, integrity requires all of the following EXCEPT:

A. Independence of mental attitude
B. Avoidance of differences of opinion
C. Subordination of desires for personal gain to the interests of clients, employers, and the public
D. An ability to analyze situations where no professional rules are specifically applicable and determine right from wrong

Answer: B

Explanation:
Integrity in Fraud Examination:
Integrity involves critical thinking, independence, and prioritizing ethical principles over personal gain. Healthy debate and differences of opinion are integral to maintaining objectivity.
Why Option D is Incorrect:
Avoiding differences of opinion contradicts the need for professional skepticism and robust analysis in fraud examination.
Conclusion: Integrity does not require the avoidance of differences of opinion, making D the correct answer.

NEW QUESTION # 205
The findings in the 2020 Report to the Nations include which of the following?

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

Answer: A

NEW QUESTION # 206
Reporting known incidents of fraud to law enforcement can be an effective fraud prevention mechanism.

A. False
B. True

Answer: B

Explanation:
Impact of Reporting to Law Enforcement:
Reporting fraud incidents to law enforcement demonstrates a zero-tolerance approach, acting as a deterrent to potential fraudsters.
It also ensures that perpetrators face legal consequences, discouraging others from engaging in fraudulent activities.
Prevention Mechanism:
The public nature of such actions signals organizational commitment to ethics and integrity, enhancing its reputation and strengthening internal controls.

NEW QUESTION # 207
Consistently punishing perpetrators can be an effective fraud prevention mechanism

A. False
B. True

Answer: B

Explanation:
Effectiveness of Consistent Punishment:
Consistent punishment demonstrates an organization's commitment to enforcing anti-fraud policies and serves as a deterrent to potential fraudsters.
Why A is Correct:
When perpetrators are consistently punished, it sends a strong message about zero tolerance for fraud and reinforces the importance of compliance throughout the organization.

NEW QUESTION # 208
Which of the following mechanisms can help alleviate the pressure on employees to commit fraud?

A. Discipline policies
B. Employee monitoring software
C. Employee support programs
D. Background check policies

Answer: C

NEW QUESTION # 209
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