Question 1

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

Options :

A : True

B : False

Answer: A

Question 2

Which of the following Is TRUE regarding the reporting of the fraud risk assessment results?

Options :

A :

The fraud risk assessment report should be delivered in a style most suited to the language of the business

B :

The fraud risk assessment report should contain a detailed, comprehensive list of every assessment finding

C :

A fraud risk assessment report should reflect the assessment team's subjective perspective regarding the risks identified

D : All of the above

Answer: A

Question 3

Which of the following is TRUE regarding the communication of the fraud risk assessment process?

Options :

A :

The more personalized the communication, the more effective it will be in encouraging employees to participate

B :

The communication should be made in a format mat is most appropriate for the culture of the organization

C : The communication should be visibly disseminated throughout the business

D : All of the above

Answer: D

Question 4

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

Options :

A : Use a checklist of initiatives to ensure that all the elements of a strong corporate culture are in place.

B : Require senior leaders to follow the same ethics policies that are in place for all staff-level employees.

C :

Discourage employees from questioning their immediate supervisor's actions or decisions if they have concerns.

D : Discipline any employees who publicly express their frustration regarding organizational policies.

Answer: B

Question 5

Before buying a capital asset, an organisation should weigh the costs and benefits of the asset. What factors are included in this analysis? Select TWO that apply.

Options :

A : The cumulative cash flows generated by the asset

B : Current liabilities in the balance sheet

C : The cost of the asset

D : Dividends paid

E : Shareholders' equity

Answer: A,C

Free CFE-Fraud-Prevention-and-Deterrence Mock Exam – Practice Online Confidently

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