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

1. To reinforce an anti-fraud culture, it is BEST for an organization's management to:

A) Discipline any employees who question their direct supervisor's behavior or policies.
B) Discourage employees from voicing concerns regarding senior leadership's actions or decisions.
C) Use a checklist of initiatives to ensure that all the elements of a strong corporate culture are in place.
D) Demonstrate the same ethical behavior required of individuals at lower levels of the company.

2. Which of the following criminological theories asserts that the three elements that have the most influence on crime are the availability of suitable targets, absence of capable guardians, and presence of motivated offenders?

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

3. At the end of an engagement, a Certified Fraud Examiner (CFE) might provide a report to their client about the information uncovered during the investigation. Which of the following statements is TRUE regarding the potential privilege that applies to this report?

A) A fraud examiner's report is only privileged from disclosure if the author is also a professional legal advisor.
B) A fraud examiner's report may be privileged from disclosure in certain circumstances, but it does not have an absolute legal privilege.
C) A fraud examiner's report is considered privileged information and is therefore protected from being legally demanded by outside parties.
D) A fraud examiner's report is privileged from disclosure by anyone other than the client.

4. Which of the following is included in the G20/OECD Principles of Corporate Governance?

A) Guidance regarding appropriate board structures, responsibilities, and procedures
B) A requirement for corporations to establish a legal, regulatory, and institutional framework to support good governance practices
C) An examination of the importance of effectively designed and implemented internal control mechanisms within an organization
D) A call to support the equal treatment of all members of an organization's governing body

5. A manager intentionally overrides purchasing controls to expedite a legitimate emergency purchase. Which statement is MOST accurate?

A) Management override always constitutes fraud
B) Management override can create risk even when the underlying purpose is legitimate
C) Emergency situations eliminate control concerns
D) Override automatically strengthens controls

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