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ACFE CFE-Fraud-Prevention-and-Deterrence exam is a rigorous exam that requires extensive preparation and knowledge of the subject matter. CFE-Fraud-Prevention-and-Deterrence exam consists of four sections, each of which includes multiple-choice questions. The sections are: Fraud Prevention and Deterrence, Financial Transactions and Fraud Schemes, Investigation, and Legal Elements of Fraud. Candidates must pass all four sections to earn the CFE-Fraud-Prevention-and-Deterrence Certification.
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ACFE CFE-Fraud-Prevention-and-Deterrence Certification Exam is recognized by employers and organizations around the world as a mark of excellence in the fraud prevention and deterrence industry. Certified individuals are highly sought after and are well-positioned for career advancement. Certified Fraud Examiner - Fraud Prevention and Deterrence Exam certification also provides a network of like-minded professionals who are committed to the same goals and can provide support and guidance throughout their careers.
The Certified Fraud Examiner - Fraud Prevention and Deterrence (CFE-Fraud-Prevention-and-Deterrence) exam is a prestigious certification that prepares individuals to uncover fraudulent activities and investigate financial crimes. CFE-Fraud-Prevention-and-Deterrence Exam is designed by the Association of Certified Fraud Examiners (ACFE), which is a global organization that aims to reduce fraud and white-collar crimes. The CFE-Fraud-Prevention-and-Deterrence certification is highly valued in the financial industry, especially for professionals who are into fraud investigation and prevention.
ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q19-Q24):
NEW QUESTION # 19
Black, a Certified Fraud Examiner (CFE). was hired to conduct a fraud examination. He did not find fraud, but. in Black's opinion, the controls he examined were deficient. Under the ACFE Code of Professional Ethics. Black is not permitted to express his opinion on the deficient controls.
Answer: B
Explanation:
* Ethical Responsibilities of a CFE:
* Under the ACFE Code of Professional Ethics, a Certified Fraud Examiner has the responsibility to report all relevant findings honestly and comprehensively, even if no fraud is identified.
* Rule 2 states that CFEs must "perform all professional engagements with due diligence" and report any material findings.
* Expressing Opinions on Deficient Controls:
* CFEs are expected to provide constructive recommendations, including noting control deficiencies that could lead to fraud or operational risks.
* Failing to express an opinion on deficiencies would not align with professional standards of diligence and full disclosure.
* Conclusion:Black is permitted, and indeed encouraged, to express his professional opinion on the deficient controls as part of his ethical obligations.
NEW QUESTION # 20
To reduce the probability of fraud in financial reports, the National Commission on Fraudulent Financial Reporting, also known as the Treadway Commission, made which of the following recommendations?
- A. Assign oversight of the hotline reporting program to shareholders.
- B. Provide adequate resources and authority to management.
- C. Appoint a mandatory independent finance committee.
- D. Develop a written charter for the audit committee.
Answer: D
Explanation:
The Treadway Commission emphasized the importance of strong corporate governance, effective audit committees, and oversight of the financial reporting process. One of its recommendations was that audit committees should have clear responsibilities, which are commonly documented in a written charter. A written audit committee charter helps define authority, duties, communication responsibilities, and oversight of financial reporting risks. Option A is incorrect because the recommendation is not to create a mandatory independent finance committee. Option C is incorrect because shareholders do not normally oversee hotline reporting programs directly. Option D is also inaccurate because the recommendation is not merely to give management more resources; governance oversight requires independent audit committee involvement.
Therefore, developing a written charter for the audit committee is the correct answer.
NEW QUESTION # 21
According to the Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Internal Control-integrated Framework (the Framework), there are five interrelated components of a company's internal control. Which of the following is NOT among these five components?
- A. Monitoring
- B. Independent oversight
- C. Control environment
- D. Information and communication
Answer: B
Explanation:
COSO Internal Control Framework Components:
* The five components are:
* Control Environment
* Risk Assessment
* Control Activities
* Information and Communication
* Monitoring Activities
Why C is Correct:
* Independent oversight, while important in governance, is not explicitly listed as one of the five COSO components. It may relate to broader governance structures but is not a core component of the internal control framework.
References:
* COSO Internal Control-Integrated Framework.
NEW QUESTION # 22
Which of the following mechanisms can help alleviate the pressure on employees to commit fraud?
- A. Background check policies
- B. Employee support programs
- C. Employee monitoring software
- D. Discipline policies
Answer: B
NEW QUESTION # 23
Which of the following is NOT one of the three general approaches used to control corporate crime?
- A. Strong intervention of the government
- B. Media blacklisting of the organization
- C. Consumer action to force change
- D. Voluntary changes in corporate attitudes and structure
Answer: B
NEW QUESTION # 24
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