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

1. Julia, an internal auditor, is formalizing a process to evaluate the effectiveness of the company's control system over time, including both ongoing evaluations and periodic, separate evaluations.
Julia's initiative BEST pertains to the component of the Committee of Sponsoring Organizations of the Treadway Commission's COSO Internal Control--Integrated Framework the Framework:

A) Monitoring
B) Control activities
C) Control environment
D) Risk assessment

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

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

3. Harry is an internal auditor with ABC Company. Harry's supervisor, the chief audit executive (CAE), is the fraud risk assessment sponsor and has tasked Harry with drafting an email communication regarding ABC's upcoming fraud risk assessment process. Which of the following is a best practice that Harry should implement?

A) Harry should find a generic template to use as the primary communication to the entire staff.
B) Harry should keep the communication private and only share it with executive management.
C) Harry's communication should encourage employees to participate in the assessment process.
D) Harry's communication should be sent to the entire staff from his own email address.

4. Which of the following Is TRUE regarding the reporting of the fraud risk assessment results?

A) The fraud risk assessment report should be delivered in a style most suited to the language of the business
B) A fraud risk assessment report should reflect the assessment team's subjective perspective regarding the risks identified
C) All of the above
D) The fraud risk assessment report should contain a detailed, comprehensive list of every assessment finding

5. Which principle of corporate governance pertains to the disclosure of all material matters that the shareholders need to make timely and informed decisions regarding their investment in the company?

A) Transparency
B) Accountability
C) Responsibility
D) Fairness

Solutions: