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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:

ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Sample Questions:

1. Which of the following criminological theories states that individuals make a conscious decision to commit a crime and that crime can be deterred by reducing opportunities for criminal activity and increasing an individual's personal risk of being caught and punished?

A) Differential association theory
B) Routine activities theory
C) Rational choice theory
D) Social conflict theory

2. Which of the following is FALSE regarding the process of defining the objective of the fraud risk management program?

A) Management must assign a quantitative measure to its risk appetite so that it can accurately measure the fraud risk management program's effectiveness.
B) Management should examine previous fraud occurrences to determine how the ideal fraud risk management program would have prevented tnem.
C) Management should tailor the detailed objectives of the fraud risk management program to the organization's specific needs and goals.
D) Management must balance the investment in anti-fraud controls with the benefit of those controls and the amount of risk it is willing to accept.

3. The Committee of Sponsoring Organizations of the Treadway Commission (COSO) defines internal control as:

A) A process aimed at proactively identifying, evaluating, and addressing an organization's vulnerabilities to fraud by both internal and external sources
B) A process implemented to review how well the organization's risk management capabilities have increased value over time and how they will continue to drive value for the organization
C) A process involving personnel at all levels of the organization that aims to eliminate all uncertainty and risk while also ensuring the achievement of organizational goals
D) A process, effected by an entity's board of directors, management, and other personnel,designed to provide reasonable assurance regarding the achievement of objectives relating to operations, reporting, and compliance

4. 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) Ethical culture
B) Monitoring
C) Control activities
D) Risk assessment

5. An organization wants to identify unusual transactions automatically across millions of records.
Which approach is MOST effective?

A) Random interviews only
B) Data analytics and continuous monitoring
C) Manual review of every transaction
D) Annual employee surveys

Solutions: