ACFE ACFE Certifications CFE-FINANCIAL-TRANSACTIONS-AND-FRAUD-SCHEMES Questions & Answers

• Question 111:

  Which of the following is NOT the phase of the bidding process?

  A. Presolicitation

  B. Postsolicitation

  C. Solicitation

  D. Submission

  Correct Answer: B

• Question 112:

  Which are check tempering frauds in which an employee prepares a fraudulent check and submits it usually along with legitimate checks to an authorized maker who signs it without a proper review?

  A. Endorse check scheme

  B. Legitimate check scheme

  C. Payable check scheme

  D. Concealed check scheme

  Correct Answer: D

• Question 113:

  Revenue is recognized when it is:

  A. Realized and Earned

  B. Fictitious and Earned

  C. Realized and Evidenced

  D. All of the above

  Correct Answer: A

• Question 114:

  In ____________ scheme, a supplier pays an employee of the purchasing company to write specifications that will require amendments at a later date.

  A. Deliberate writing of vague specifications

  B. Need recognition

  C. False specification

  D. Bid-splitting

  Correct Answer: A

• Question 115:

  Conflict of interest cases are more easily prevented than detected.

  A. True

  B. False

  Correct Answer: A

• Question 116:

  A running count that records how much inventory should be on hand is referred to:

  A. Altered inventory

  B. Perpetual inventory

  C. Shrinking inventory

  D. Fictitious inventory

  Correct Answer: B

• Question 117:

  In ___________ scheme, an employee creates false vouchers or submits false invoices to the employer.

  A. Sale requisition

  B. Purchase requisition

  C. Voucher handling

  D. Cash generating

  Correct Answer: D

• Question 118:

  __________ inventory and other assets is relatively common way for fraudsters to remove assets from the books before or after they are stolen.

  A. Altered

  B. Perpetual

  C. False shipping slip

  D. Write-offs

  Correct Answer: C

• Question 119:

  What is sometimes used to overcome well-designed internal controls of a victim company?

  A. Shell company

  B. Fraudulent invoices

  C. Collusion

  D. Rubber stamp supervisors

  Correct Answer: C

• Question 120:

  Skimming cases can more likely to be detected by:

  A. Internal audits

  B. Accidents

  C. Internal controls

  D. occupational frauds

  Correct Answer: B