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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

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

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q74-Q79):

NEW QUESTION # 74
According to the authors of Crimes of the Middle Classes, all of the following factors have contributed to the rising problem of economic crime EXCEPT:

A. The continued pressures of a culture that rewards affluence and success
B. The increased constraints of the regulatory environment for businesses
C. The increased opportunity for wrongdoing as a result of advancing information technologies
D. The economy's increased reliance on credit

Answer: B

Explanation:
Increased regulatory constraints typically deter crime by establishing clear compliance requirements. They do not contribute to the rising problem of economic crime but instead act as a countermeasure.

NEW QUESTION # 75
Which of the following is TRUE regarding a background check policy for employees?

A. When verifying past employment, management should only ask previous employers to verify the candidate's previous position and dates of employment.
B. As part of the screening process, management should contact the personal and professional references provided by the job candidate only if they are unsure whether the candidate is being honest.
C. If a background check was conducted on an employee at the time of hire, then there is no need for management to conduct additional background checks on that employee during their employment.
D. Management should perform a background check on any candidate who will have access to cash, checks, credit card numbers, or other items that are easily stolen.

Answer: D

NEW QUESTION # 76
Susannah Is conducting an external audit of a company In a jurisdiction that is subject to International Standards on Auditing (ISAs). While undertaking her audit procedures, she discovers evidence that senior management has been fraudulently manipulating the financial statements. Which of the following is Susannah's BEST response to these findings?

A. Susannah should confront management with her audit findings and try to get a confession.
B. Susannah should Immediately report her findings to the secunties regulators
C. Susannah should report her findings to the audit committee of the board of directors.
D. Susannah should not disclose her findings to any other parties due to client confidentiality.

Answer: C

Explanation:
Fraud Discovered During an Audit:
Under ISAs, auditors must communicate findings of fraud to the appropriate governance body, such as the audit committee or board of directors.
This ensures accountability and allows the organization to take appropriate remedial action.

NEW QUESTION # 77
Employees should be kept unaware that management is watching for lifestyle and behavior changes In staff members that might indicate fraud.

A. False
B. True

Answer: A

Explanation:
Management's Role in Fraud Monitoring:
Employees should be aware that management monitors lifestyle and behavior changes.
Transparency discourages fraudulent behavior by reinforcing accountability.
Effect of Transparency:
Awareness of monitoring helps maintain a culture of ethical behavior and reduces the likelihood of fraud.
Conclusion: The statement is false because employees should know that management is vigilant about potential fraud indicators.

NEW QUESTION # 78
Which of the following Is TRUE regarding the reporting of the fraud risk assessment results?

A. All of the above
B. A fraud risk assessment report should reflect the assessment team's subjective perspective regarding the risks identified
C. The fraud risk assessment report should be delivered in a style most suited to the language of the business
D. The fraud risk assessment report should contain a detailed, comprehensive list of every assessment finding

Answer: C

Explanation:
Reporting Fraud Risk Assessment Results:
Reports should align with the organization's operational language to ensure comprehension by management and stakeholders.
Why A is Correct:
Using business-appropriate language ensures effective communication of findings and recommendations.

NEW QUESTION # 79
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