Free ACFE CFE-Fraud-Prevention-and-Deterrence Exam Questions & Answer from Training Expert BraindumpsIT [Q25-Q45] : IT Certification Exam Braindumps : http://blog.braindumpsit.com

NEW QUESTION 25
Which of the following is an example of organizational crime?

A salesman offering bribes to secure a contract

An accounting clerk forging company checks to herself

A doctor conspiring with patients to Tile false health care insurance claims

Management of several construction companies engaging In bid rigging

NEW QUESTION 26
Which of the following principles of corporate governance pertains to the duty of the organization to act in the best interest of society?

Transparency

Responsibility

Fairness

Accountability

NEW QUESTION 27
In the context of a fraud examination, integrity requires all of the following EXCEPT:

Trustworthiness

A well-developed sense of moral philosophy

Avoidance of conflicts of interest

Refusal to admit errors

NEW QUESTION 28
In response to an employee’s failure to meet performance expectations, a manager demotes the employee to a junior-level position. This is an example of what type of behavioral response?

Positive reinforcement

Negative reinforcement

Punishment

None of the above

NEW QUESTION 29
The availability of suitable targets, absence of capable guardians, and presence of motivated offenders are the three most important elements that influence crime according to which of the following criminological theories?

Conditioning theory

Routine activities theory

Rational choice theory

Social control theory

NEW QUESTION 30
Which of the following statements regarding document retention policies (DRPs) is TRUE?

Document retention policies do not need to include protocols for preserving electronic documents as most IT systems automatically preserve copies of such data

When establishing a document retention policy, management should consider any industry-specific rules for documenting and regaining records

An effective document retention policy permits the organization to continue the destruction of documents when faced with potential litigation

All of the above

NEW QUESTION 31
Management at ABC Corp. is assessing the company’s ethical tone and how it affects the organization’s fraud risk. To most effectively reinforce an anti-fraud culture, management should:

Use a checklist of initiatives to make sure all the elements of a strong tone at the top are in place

Create an environment in which employees feel safe challenging management’s decisions

implement two separate sets of ethics policies, one for management and one for employees

All of the above

NEW QUESTION 32
XYZ, Inc. Is a specialty retailer of high-end ergonomic office furniture. The company receives a very large order from ABC Company, a new customer in a different country that wants to pay on credit. Which of the following is MOST ACCURATE regarding the due diligence procedures XYZ should perform on ABC before proceeding with this transaction?

XYZ only needs to undertake due diligence procedures if ABC conducts business in countries with known corruption risks.

XYZ does not need to take any specific procedures to verify ABC’s identity before accepting the transaction

XYZ should examine ABC’s net worth as part of deciding whether to allow the purchase on credit.

XYZ should perform the same level of due diligence as it would for any other customer to avoid claims of discrimination

NEW QUESTION 33
For its compliance program to be effective, an organization must promote the program through appropriate incentives for compliance.

True

False

NEW QUESTION 34
Consistently punishing perpetrators can be an effective fraud prevention mechanism.

True

False

NEW QUESTION 35
According to the authors of Crimes of the Middle Classes, all of the following factors have contributed to the rising problem of economic crime EXCEPT:

The continued pressures of a culture that rewards affluence and success

The economy’s increased reliance on credit

The decrease in funds available from government assistance programs

The increased opportunity for wrongdoing as a result of advancing information technologies

NEW QUESTION 36
Which of the following is NOT a purpose served by a professional organization s code of conduct?

It provides more direct solutions to professional ethical dilemmas than might exist under general ethical principles

It serves as a reference and benchmark for ethical guidance

It provides clear answers to all ethical dilemmas the organization s members might face

It facilitates practical enforcement and profession-wide internal discipline

NEW QUESTION 37
According to modern criminological studies, which of the following is the determinant aspect of white-collar crime’?

Organizational opportunity

Absence of risk factors

Potential legal punishment

Social status

NEW QUESTION 38
In the area of criminological theory, deterrence is the theory that tries to prevenl crime by using the threat of criminal sanctions.

True

False

NEW QUESTION 39
Management at ABC Corp. is assessing the company s ethical tone and how it affects the organization s fraud risk. To most effectively reinforce an anti-fraud culture, management should

Create an environment in which employees feel safe challenging managements decisions

Use a checklist of initiatives to make sure all the elements of a strong tone at the top are in place

Implement two separate sets of ethics policies one for management and one for employees

All of the above

NEW QUESTION 40
Professional auditing standards suggest that auditors incorporate an “element of predictability” in the selection of auditing procedures to be performed so that they ensure the same areas are tested in the same manner during each audit.

True

False

NEW QUESTION 41
The theory of differential association is used frequently to explain white-collar criminality Which of the following is NOT one of the assertions or principles of differential association?

Criminal behavior is learned from other people in a process of communication

Criminal behavior is learned using the same mechanisms as other learning

Criminal behavior is acquired through participation with intimate personal groups

The process of learning criminal behavior Is the same as pure imitation

NEW QUESTION 42
Fraud risks related to corruption include all of the following EXCEPT;

Receipt of kickbacks

Espionage by competitors

Payment of bribes

Aiding and abetting vendor fraud

NEW QUESTION 43
A report by a fraud examiner is privileged from disclosure by anyone other than the client

True

False

NEW QUESTION 44
Which of the following is NOT a purpose served by a professional organization’s code of conduct?

It replaces the need for individuals to consult their own conscience.

It facilitates practical enforcement and profession-wide Internal discipline.

It serves as a reference and benchmark for ethical guidance

It provides more direct solutions to professional ethical dilemmas than might exist under general ethical principles

NEW QUESTION 45
Article II of the ACFE Code of Professional Ethics prohibits illegal or unethical conduct, but it allows exceptions for unknowing violations of the law

True

False