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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Fraud Prevention Framework	25%	- Fraud risk assessment processes - Fraud risk governance and oversight
Internal Controls and Fraud Prevention	25%	- Internal control design and effectiveness - Fraud detection and prevention controls
Corporate Governance and Ethics	25%	- Ethical culture and tone at the top - Code of conduct and compliance programs
Fraud Risk Management and Deterrence	25%	- Fraud prevention strategies and programs - Monitoring and continuous improvement

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q162-Q167):

NEW QUESTION # 162
To reinforce an anti-fraud culture, it is BEST for an organization's management to:

A. Discipline any employees who publicly express their frustration regarding organizational policies.
B. Discourage employees from questioning their immediate supervisor's actions or decisions if they have concerns.
C. Require senior leaders to follow the same ethics policies that are in place for all staff-level employees.
D. Use a checklist of initiatives to ensure that all the elements of a strong corporate culture are in place.

Answer: C

NEW QUESTION # 163
Which of the following is NOT a responsibility of the organization's board of directors?

A. Serving as the intermediaries between shareholders and management
B. Directing employees to execute business activities
C. Assessing the strategy and underlying purpose of management's decisions and actions
D. Acting as guardians of the organization's resources and assets

Answer: B

Explanation:
Responsibilities of the Board of Directors:
The board is primarily responsible for oversight, governance, and ensuring the organization operates in the best interest of stakeholders. Key responsibilities include:
Acting as intermediaries between shareholders and management.
Safeguarding resources and assets.
Assessing management's strategies and decisions.
Why C is Correct:
Directing employees is a management responsibility, not a board function. The board focuses on oversight rather than operational execution.

NEW QUESTION # 164
Article II of the ACFE Code of Professional Ethics prohibits illegal or unethical conduct, but It allows exceptions for unknowing violations of the law.

A. False
B. True

Answer: A

Explanation:
ACFE Code of Professional Ethics:
Article II prohibits all illegal and unethical conduct, with no exceptions for unknowing violations of the law. CFEs are expected to maintain a high standard of professional integrity and responsibility.
Why B is Correct:
Ignorance of the law is not an acceptable defense under the ACFE Code of Ethics. Professionals must ensure they understand and comply with applicable laws.

NEW QUESTION # 165
Gregory, an internal auditor, and Brandon, the company's purchasing manager, have had several heated disagreements over purchasing procedures and policies. Gregory has just been told that he will be the lead on the company's fraud risk assessment. During the fraud risk assessment.
Gregory should:

A. Have someone else perform the fraud risk assessment work related to the purchasing function
B. Confront Brandon about the disagreements and discuss how they increase the organization's risk of fraud-
C. Automatically designate the purchasing function as a high-risk area.
D. Include his disagreements with Brandon as a factor when assessing the risk of fraud in the purchasing function.

Answer: D

Explanation:
Fraud Risk Assessment Objectivity:
The assessment must remain unbiased, but any prior disagreements or conflicts may highlight areas where policies or procedures are unclear, increasing fraud risks.
Why C is Correct:
Incorporating disagreements provides context to evaluate risks objectively, ensuring that all relevant factors are considered without bias.

NEW QUESTION # 166
Which of the following scenarios would MOST LIKELY be considered a violation of the ACFE Code of Professional Ethics?

A. Riva, a CFE, uncovered material internal control deficiencies that were material but unrelated to the kickback scheme she was investigating. In her final report to management, Riva included information about the deficiencies despite their being unrelated to the situation she was hired to investigate.
B. All of the above are violations.
C. Dee, a CFE, accepted an assignment to conduct a fraud examination within a manufacturing company. Because she rushed to complete the investigation, she overlooked key items of evidence and failed to uncover a fraud scheme.
D. Derrick, a CFE, was hired by a client to conduct a fraud examination but found nothing abnormal.
A year later, he received a court order to provide the client's file to the court. Derrick complied with the court order despite not having the client's authorization to provide the file.

Answer: C

NEW QUESTION # 167
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