Pass the ACFE Certified Fraud Examiner CFE-Fraud-Prevention-and-Deterrence Questions and answers with CertsForce

A process aimed at proactively identifying, assessing, and managing an organization's vulnerabilities to fraud by both internal and external sources.

The system enacted to ensure effective oversight of the board of directors, management, and all other parties responsible for an organization's direction, operations, and performance.

The system that is designed and implemented to eliminate all uncertainty and risk while also ensuring the achievement of organizational goals.

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.

Fraud examiners should not relax their skeptical attitudes under any circumstances.

Professional skepticism involves maintaining a mindset that no fraud has occurred

Fraud examiners should form the engagement hypothesis without regard to the nature of the assignment

Professional skepticism can be dispelled only by evidence

Blue should consider Green's expected purchasing pattern and method of payment in determining whether to accept the transaction.

Blue only needs to undertake due diligence procedures if Green is requesting to pay on credit.

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

Blue does not need to undertake any specific due diligence procedures for this transaction.

Use a checklist of initiatives to ensure that all the elements of a strong corporate culture are in place.

Require senior leaders to follow the same ethics policies that are in place for all staff-level employees.

Discourage employees from questioning their immediate supervisor's actions or decisions if they have concerns.

Discipline any employees who publicly express their frustration regarding organizational policies.

Elena should suspend the audit and begin a new audit focused on the internal controls

Elena should report the findings in writing to the appropriate law enforcement agencies.

Elena should provide a written communication about the findings to senior management.

Elena should work independently to correct the underlying internal control deficiency.

Control activities

Risk assessment

Monitoring

Control environment

Eliece should immediately contact management at Silver Inc. to provide information about her conversation with Jewel and her request for confidentiality.

Eliece should promise Jewel that she will keep the information confidential even though she knows that she will likely be unable to keep that promise.

Eliece should encourage Jewel to report the information to law enforcement because she cannot agree to Jewel’s request.

Eliece should tell Jewel that she will try to keep the information as confidential as possible but she might have an ethical obligation to inform their employer.

Serving as the intermediary between staff-level employees and management.

Assessing the strategy and underlying purpose of management's decisions and actions.

Electing the company shareholders and supervising their decisions and actions.

Directing employees to organize and execute business activities.

Reflect the assessment team's subjective perspective regarding the risks identified.

Contain a detailed, comprehensive list of every assessment finding.

Focus on the findings that will make the most impact on the company's fraud risk management efforts.

Include a complete list of recommended actions for management to take to address all identified risks.

True

False