ACFE Certified Fraud Examiner CFE-FINANCIAL-TRANSACTIONS-AND-FRAUD-SCHEMES Questions & Answers

• Question 11:

  A shell company scheme in which actual goods or services are sold to the victim company is known as:

  A. Maintenance scheme

  B. Allocation scheme

  C. Distribution scheme

  D. Pass-through scheme

  Correct Answer: D

• Question 12:

  Maintain the presence of a manager or supervisor near the area of the cash register as a deterrent to theft is a prevention for:

  A. Fraudulent statement scheme

  B. Asset misappropriation scheme

  C. Larceny scheme

  D. Register disbursement scheme

  Correct Answer: D

• Question 13:

  Every bribe is a two-sided transaction, in which where a vendor bribes a purchaser, there is someone on the vendor's side of the transaction who is not making an illicit payment.

  A. True

  B. False

  Correct Answer: B

• Question 14:

  Which of the following is not the skimming scheme?

  A. Unrecorded sales

  B. Fraud and Cost

  C. Theft of checks through the mail

  D. Understand sales and receivables

  Correct Answer: B

• Question 15:

  Which of the following is true for Red flags associated with fictitious revenues?

  A. Slow growth or usual profitability, when not compared to other companies in the same industry.

  B. Usual growth in the number of days purchase in receivables

  C. A significant volume of sales to entries whose substance and ownership is not known.

  D. A usual surge in purchase by a majority of units within a company, or of purchase recorded by corporate headquarters.

  Correct Answer: C

• Question 16:

  A tangible asset is one which is:

  A. capable of being perceived

  B. capable of being appraised

  C. Both A and B

  D. Neither A nor B

  Correct Answer: C

• Question 17:

  Undisclosed payments made by vendors to employees of purchasing companies are referred to as:

  A. Bid-rigging

  B. Kickbacks

  C. Presolicitaion

  D. None of the above

  Correct Answer: B

• Question 18:

  According to a survey, in principal perpetrator, males in a majority of cases, accounting for ___ percent of frauds versus ___ percent in which a female was the primary culprit.

  A. 62 versus 36

  B. 61 versus 39

  C. 62 versus 37

  D. None of the above

  Correct Answer: B

• Question 19:

  When employees avoid detection in a refund scheme to keep the sizes of the disbursement low, is referred to:

  A. Small disbursements

  B. Very small disbursements

  C. Simple disbursements

  D. None of the above

  Correct Answer: A

• Question 20:

  Which of the following is NOT the aspect of inventory purchase?

  A. Inventory purchases purposely increase in year 1 only to be liquidated in year 2.

  B. inventory for the year 2 will be much greater than year 1.

  C. Increase sales in year 2 are unexpected and purchase of inventory does not keep pace with the sales.

  D. might be some fraud scheme in inventory.

  Correct Answer: B