Online Access Free CFE-Fraud-Prevention Exam Questions

Which of the following statements is FALSE regarding an organization's fraud risk management program?

• A.The program must include mechanisms to monitor and identify breaches in compliance.
• B.There should be measures in place to address failures in the design or operation of anti-fraud controls, as well as fraud occurrences
• C.The responsibility of handling suspected incidents of noncompliance should be delegated to someone outside of the company.
• D.Formal sanctions for intentional noncompliance should be well-publicized throughout the company

Having specialized departments within a company often increases the overall risk ot traud by the organization.

• A.False
• B.True

According to the 2020 Report to the Nations, which of the following is the MOST COMMON method by which frauds are detected?

• A.Internal audit
• B.Confession
• C.External audit
• D.Tips

Which of the following is TRUE regarding G20/OECD Principles of Corporate Governance (the Principles)?

• A.The Principles are intended to be applicable in developed economies but not in emerging markets.
• B.The Principles are required to be implemented by all corporations in the jurisdictions that have officially adopted them
• C.The Principles state that an entity's corporate governance framework should ensure the equitable treatment of all shareholders.
• D.The Principles state that an entity's corporate governance framework should discourage active cooperation between corporations and stakeholders in creating wealth.

Effectively documenting and communicating organizational hierarchies, including the proper flow of information, can be a helpful tool in preventing fraud.

• A.False
• B.True