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

1. "Crimes of the Middle Classes" finds that all the following factors have contributed to the rising problem of economic crime EXCEPT:

A) The economy's decreased reliance on credit and a decline in personal debt.
B) Advancement of information technologies increasing the opportunity for misconduct.
C) Media sources sending the message that no one has to settle for second best.
D) The increase in funds available from government assistance programs.

2. The Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Enterprise Risk Management--Integrating with Strategy and Performance defines what as `the continual iterative process of obtaining information and sharing it throughout the entity'?

A) Strategy and objective-setting
B) Governance and culture
C) Information, communication, and reporting
D) Performance

3. Beezie, a Certified Fraud Examiner (CFE), took an introductory class in computer forensics.
When a client thought there might be evidence of a crime on their computer, Beezie decided to conduct a forensic examination of the computer even though she had no experience or advanced training in this area. Which of the following is TRUE regarding Beezie's conduct?

A) Beezie's conduct would be a violation of the ACFE Code of Professional Ethics only if she also violated the law.
B) Beezie's conduct would not be a violation of the ACFE Code of Professional Ethics.
C) Beezie's conduct would be a violation of the ACFE Code of Professional Ethics.
D) Beezie's conduct would be a violation of the ACFE Code of Professional Ethics only if she did not find the fraudster.

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

5. Which of the following statements regarding monitoring employees for warning signs of fraud is MOST ACCURATE?

A) Employees who steal do not commonly display lifestyle or behavioral warning signs of their misdeeds.
B) Managers should be instructed to observe employees for any unusual lifestyle improvements, such as an unexplained increase in luxury purchases.
C) Managers should only observe employees for signs of suspicious behavioral or lifestyle changes if they can do so without the employees' knowledge.
D) An increase in employee wealth is always a sign of fraud that should be investigated.

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