Exam Name: Certified Fraud Examiner - Fraud Prevention and Deterrence Exam
Certification Provider: ACFE
Corresponding Certification: Certified Fraud Examiner
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ACFE CFE-Fraud-Prevention Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Professional Ethics | 5–10% | - ACFE Code of Professional Ethics - Conflicts of interest and integrity - Ethical decision-making |
| Topic 2: Fraud Prevention Programs | 15–20% | - Monitoring and continuous improvement - Communication and training - Designing prevention strategies |
| Topic 3: Management's Fraud-Related Responsibilities | 5–10% | - Reporting mechanisms - Oversight and accountability - Establishing anti-fraud policies |
| Topic 4: Fraud Risk Assessment | 15–20% | - Assessment implementation and documentation - Risk identification methodologies - Risk analysis and prioritization |
| Topic 5: Corporate Governance | 20–25% | - Internal control systems
|
| Topic 6: White-Collar Crime | 15–20% | - Legal prosecution and sanctions - Causal factors and opportunity structures - Organizational vs occupational crime - Definition and characteristics - Impact on organizations and society |
| Topic 7: Understanding Criminal Behavior | 5–10% | - Behavior modification principles - Theories of crime causation
|
ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Sample Questions:
Which of the following statements Is TRUE regarding how fraud examiners should exercise professional skepticism during a fraud examination engagement?
- A. Fraud examiners should form the engagement hypothesis without regard to the nature of the assignment
- B. Professional skepticism involves maintaining a mindset that no fraud has occurred
- C. Professional skepticism can be dispelled only by evidence
- D. Fraud examiners should not relax their skeptical attitudes under any circumstances.
Correct Answer: C 🗳️
Explanation: Only visible for ExamPrepAway members. You can sign-up / login (it's free).
Which situation presents the GREATEST opportunity for occupational fraud?
- A. Mandatory vacations and job rotation
- B. Strong segregation of duties and active monitoring
- C. One employee controls authorization, recordkeeping, and reconciliation functions
- D. Independent internal audits
Correct Answer: C 🗳️
Explanation: Only visible for ExamPrepAway members. You can sign-up / login (it's free).
Management at ABC Corp. is assessing the company's ethical tone and how it affects the organization's fraud risk. To MOST EFFECTIVELY reinforce an anti-fraud culture, management should:
- A. Visibly adhere to the same set of ethics policies that is required of all employees
- B. Create an environment in which employees are dissuaded from challenging management's decisions
- C. Use a checklist of initiatives to make sure all the elements of a strong tone at the lop are in place
- D. All of the above
Correct Answer: A 🗳️
Explanation: Only visible for ExamPrepAway members. You can sign-up / login (it's free).
During the course of a fraud examination. While, an employee of the ABC Corp.. approaches Blue, a Certified Fraud Examiner (CFE), and tells Blue that she wishes to furnish information in confidence.
Blue also is employed by the ABC Corp. Blue should:
- A. Agree that the information will be held in confidence, even though Blue knows it will not be
- B. Take White's request straight to ABC Corp.'s management
- C. Tell White that she will try to keep the information as confidential as possible
- D. Not agree to the request for confidentiality
Correct Answer: D 🗳️
Explanation: Only visible for ExamPrepAway members. You can sign-up / login (it's free).
Black, a Certified Fraud Examiner CFE, was hired to conduct a fraud examination. He did not find fraud, but in Black's opinion, the controls he examined were deficient. Under the ACFE Code of Professional Ethics, which of the following is TRUE?
- A. Black may include his opinion on the internal control deficiencies in his report to management only if he amends his engagement letter.
- B. Black may include his opinion on the internal control deficiencies in his report to management only if he gets formal approval from the board of directors.
- C. Black is not permitted to express his opinion on the internal control deficiencies in his report to management under any circumstances.
- D. Black may include his opinion on the internal control deficiencies in his report to management because it is a technical matter.
Correct Answer: D 🗳️
Explanation: Only visible for ExamPrepAway members. You can sign-up / login (it's free).
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