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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Fraud Prevention and Deterrence25%- Fraud risk assessment
- Whistleblowing and reporting mechanisms
- Monitoring, auditing, and continuous improvement
- Internal control systems and evaluation
- Fraud prevention programs and frameworks
- Fraud risk governance and organizational culture
- Fraud deterrence strategies and controls
- Ethics and corporate governance
- Anti-fraud policies and procedures

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q66-Q71):

NEW QUESTION # 66
Cho, an internal auditor, and Pierre, a sales manager, have had several disagreements about the sales tactics used by Pierre's team. Cho has just been told that she will lead the company's fraud risk assessment. During the fraud risk assessment, Cho should:

Answer: D


NEW QUESTION # 67
Which of the following is FALSE regarding an organization's anti-fraud policy?

Answer: A

Explanation:
nti-Fraud Policy Components:
A robust anti-fraud policy should provide clear definitions and examples of fraud and misconduct to ensure employees understand what constitutes unacceptable behavior.
Specific examples make investigations and enforcement more consistent and defensible.
Analysis of Option B:
Avoiding specific examples creates ambiguity, which can hinder enforcement and increase legal risks when discharging employees.
Properly vetted examples, reviewed with legal counsel, help ensure compliance with legal standards.
Conclusion:Option B is false because including examples of fraud and misconduct strengthens the anti-fraud policy.


NEW QUESTION # 68
Stevens, a Certified Fraud Examiner (CFE), was hired to conduct a fraud examination at ABC Company. His examination did not reveal any conclusive evidence that fraud had occurred orwas occurring. Consequently, ABC's management asked Stevens to state in his official examination report that the organization is free of fraud as a means of assuring the board of directors that the company's anti-fraud controls were effective. Under the ACFE Code of Professional Ethics.
Stevens is permitted to comply with management's request based on the findings of his examination.

Answer: B

Explanation:
ACFE Code of Professional Ethics:
The ACFE Code of Ethics prohibits fraud examiners from making absolute statements about the absence of fraud. Fraud cannot be definitively ruled out based on an examination's findings.
Why B is Correct:
Stevens cannot state that the organization is "free of fraud," as fraud detection is inherently limited by the scope and methods of the examination. Such a statement could mislead stakeholders and compromise ethical standards.


NEW QUESTION # 69
The objective of anti-fraud controls is to:

Answer: B

Explanation:
Fraud Risk Reduction Objectives:
Inherent fraud risk:The risk present before any controls are applied.
Residual fraud risk:The remaining risk after controls have been implemented.
Why D is Correct:
The goal of anti-fraud controls is to minimize residual risk to acceptable levels, recognizing that complete elimination of risk is unattainable.


NEW QUESTION # 70
In the context of a fraud examination, integrity requires all of the following EXCEPT:

Answer: D

Explanation:
Integrity in Fraud Examination:
Integrity involves trustworthiness, ethical behavior, and transparency. Admitting errors is a critical part of maintaining professional integrity.
Why D is Correct:
Refusal to admit errors is inconsistent with the ethical and professional standards of fraud examination.


NEW QUESTION # 71
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