Examinations ACFE CFE-Fraud-Prevention Actual Questions | CFE-Fraud-Prevention Reliable Test Guide

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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

Section	Weight	Objectives
Topic 1: Fraud Risk Management and Deterrence	25%	- Monitoring and continuous improvement - Fraud prevention strategies and programs
Topic 2: Internal Controls and Fraud Prevention	25%	- Fraud detection and prevention controls - Internal control design and effectiveness
Topic 3: Fraud Prevention Framework	25%	- Fraud risk assessment processes - Fraud risk governance and oversight
Topic 4: Corporate Governance and Ethics	25%	- Ethical culture and tone at the top - Code of conduct and compliance programs

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q129-Q134):

NEW QUESTION # 129
Which of the following is BEST classified as a type of external fraud risk?

A. Adding ghost employees to payroll
B. Collusion between contractors
C. Embezzling incoming customer payments
D. Reporting revenue in the wrong period

Answer: B

Explanation:
Collusion between contractors is an example of external fraud risk because it involves external parties conspiring to defraud the organization. The other options describe internal fraud risks, such as actions committed by employees within the organization.

NEW QUESTION # 130
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. Control activities
C. Risk assessment
D. Ethical culture

Answer: D

Explanation:
While ethical culture is critical to the control environment, it is not one of the five standalone components of the framework.
Conclusion: Ethical culture is not a separate component but a part of the control environment.

NEW QUESTION # 131
Which of the following is one of the components of the Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Enterprise Risk Management--Integrating with Strategy and Performance?

A. Risk tolerance
B. Event avoidance
C. Review and revision
D. Compliance

Answer: C

NEW QUESTION # 132
Having specialized departments within a company often increases the overall risk ot traud by the organization.

A. False
B. True

Answer: B

Explanation:
Risks Associated with Specialized Departments:
While specialization improves efficiency, it can create silos that hinder communication, coordination, and oversight, increasing fraud risk.
Isolated departments may lack cross-functional checks and balances.
Conclusion: Specialized departments often increase fraud risk if not managed with proper controls and oversight.

NEW QUESTION # 133
A manager intentionally overrides purchasing controls to expedite a legitimate emergency purchase. Which statement is MOST accurate?

A. Management override can create risk even when the underlying purpose is legitimate
B. Management override always constitutes fraud
C. Emergency situations eliminate control concerns
D. Override automatically strengthens controls

Answer: A

Explanation:
Management override is not necessarily fraudulent, but bypassing controls increases risk. Even legitimate exceptions should be documented, monitored, and approved to prevent abuse and preserve control effectiveness.

NEW QUESTION # 134
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