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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Topic 1: Fraud Prevention Programs	15–20%	- Monitoring and continuous improvement - Designing prevention strategies - Communication and training
Topic 2: Management's Fraud-Related Responsibilities	5–10%	- Oversight and accountability - Establishing anti-fraud policies - Reporting mechanisms
Topic 3: Professional Ethics	5–10%	- Ethical decision-making - ACFE Code of Professional Ethics - Conflicts of interest and integrity
Topic 4: Corporate Governance	20–25%	- Governance frameworks and principles 1. Treadway Commission (COSO) 2. OECD guidelines - Internal control systems 1. COSO five components - Roles of board, management, auditors
Topic 5: Fraud Risk Assessment	15–20%	- Risk analysis and prioritization - Risk identification methodologies - Assessment implementation and documentation
Topic 6: White-Collar Crime	15–20%	- Causal factors and opportunity structures - Definition and characteristics - Organizational vs occupational crime - Impact on organizations and society - Legal prosecution and sanctions
Topic 7: 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

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q276-Q281):

NEW QUESTION # 276
Devon, an employee at Tilly Corp., repeatedly demonstrates a negative attitude when working with other departments. To address this behavior, Devon's manager tells him that he is no longer allowed to lead cross-departmental projects. This is an example of what type of behavioral response?

A. None of the above
B. Positive reinforcement
C. Negative reinforcement
D. Punishment

Answer: D

Explanation:
This scenario is an example of punishment. Punishment involves introducing a consequence (in this case, the loss of responsibility for cross-departmental projects) to discourage undesirable behavior. The manager uses this approach to address Devon's negative attitude and to promote better cooperation with other departments in the future.

NEW QUESTION # 277
Patrick is conducting an external audit of a company in a jurisdiction that is subject to International Standards on Auditing (ISAs). While undertaking his audit procedures, he discovers evidence that senior management has been fraudulently manipulating the financial statements.
Which of the following is Patrick's BEST response to these findings?

A. Patrick should not disclose his findings to any other parties due to client confidentiality
B. Patrick should report his findings to those charged with governance of the organization.
C. Patrick should immediately report his findings to local law enforcement authorities.
D. Patrick should confront management with his audit findings and try to get a confession.

Answer: B

Explanation:
International Standards on Auditing (ISAs) Requirements:
ISAs require auditors to communicate suspected or confirmed fraud to "those charged with governance" of the organization, as they have the responsibility for oversight.
ISA 240, "The Auditor's Responsibilities Relating to Fraud in an Audit of Financial Statements," mandates that findings be reported to appropriate governance bodies before considering further actions.
Confidentiality and Legal Obligations:
Auditors must maintain confidentiality unless legal or regulatory frameworks require disclosure to authorities. Immediate reporting to law enforcement (option B) may breach confidentiality without proper internal escalation.
Reporting to governance ensures proper internal actions are taken and protects the integrity of the audit process. It allows the organization to address the issue before external involvement if required.

NEW QUESTION # 278
The availability of suitable targets, absence of capable guardians, and presence of motivated offenders are the three most important elements that influence crime according to which of the following criminological theories?

A. Social control theory
B. Routine activities theory
C. Conditioning theory
D. Rational choice theory

Answer: B

Explanation:
This theory posits that crime occurs when three elements converge:
Availability of suitable targets.
Absence of capable guardians.
Presence of motivated offenders.

NEW QUESTION # 279
Warren wants to decrease the amount of cash register discrepancies among the cashiers at his small business. According to behaviorist theories, which of the following options would be the MOST EFFECTIVE way for Warren to encourage the cashiers to reduce their discrepancies and keep their cash drawers balanced?

A. Deduct an hour's worth of pay for anyone whose cash drawer is not perfectly reconciled each day.
B. Publicly praise employees every time their cash drawers are balanced.
C. Demote employees who continue to have reconciliation discrepancies.
D. Take away an hour of paid time off from an employee each time their cash drawer is not balanced.

Answer: B

NEW QUESTION # 280
A company implements a fraud hotline but does not allow anonymous reporting. What is the MOST likely consequence?

A. Increased reporting rates
B. Elimination of false allegations
C. Fewer tips and reduced reporting effectiveness
D. Reduced employee concerns about retaliation

Answer: C

Explanation:
Employees may hesitate to report suspected misconduct if anonymity is unavailable. Fear of retaliation, damaged relationships, or career consequences can discourage reporting and reduce the effectiveness of the hotline program.

NEW QUESTION # 281
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