QUESTION: 57

Stevens, a Certified Fraud Examiner (CFE), was hired to conduct a fraud examination at ABC Company. His examination did not reveal any conclusive evidence that fraud had occurred or was occurring. Consequently, ABC's management asked Stevens to state in his official examination report that the organization is free of fraud as a means of assuring the board of directors that the company's anti-fraud controls were effective. Under the ACFE Code of Professional Ethics. Stevens is permitted to comply with management's request based on the findings of his examination.

True
False

Answer(s): B

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QUESTION: 58

Jones, an accounting manager for a software company, wants to improve her team's adherence to the company's formal accounting policies and procedures and reduce the number of process exceptions they experience. According to behaviorist theories, which of the following options would be the most effective way for Jones to condition her staff to follow the company's formal accounting processes?

Demote employees who do not adhere to the expected processes.
Publicly call out and criticize employees who deviate from the formal processes.
Offer a bonus to anyone who experiences no process exceptions for ninety days-
Take away a day of paid time off for each process exception.

Answer(s): C

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QUESTION: 59

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

True
False

Answer(s): A

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QUESTION: 60

Which of the following statements regarding recommended vendor due diligence procedures is MOST ACCURATE?

An organization should subject vendors to an internal audit conducted by the organization's own auditors before agreeing to do business with them.
An organization should avoid revealing that it is seeking information about potential vendors prior to starting a relationship with them.
An organization should request that new vendors fill out a questionnaire about their background immediately after signing a contract with them.
An organization should include a clause in the contract requiring the vendor to report any misconduct before entering into an agreement with them.

Answer(s): D

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Free CFE - Fraud Prevention Exam Braindumps (page: 15)

QUESTION: 57

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QUESTION: 59

QUESTION: 60