Free CFE-Fraud-Prevention-and-Deterrence Exam Dumps

Question 6

For its compliance program lo be effective, an organization must perform procedures to ensure management hires only ethical individuals who exercise a substantial measure of discretion in acting on the organization s behalf.

A. True
B. False

Correct Answer:A

Question 7

According to behaviorists such as B F Skinner, which of the following scenarios is mostly likely to occur when an undesired behavior is punished?

A. The behavior will be permanently suppressed
B. The behavior will return when punishment ceases
C. The behavior will occur more frequently.
D. The behavior will not be affected by the punishment

Correct Answer:A

Question 8

A report by a fraud examiner is privileged from disclosure by anyone other than the client

A. True
B. False

Correct Answer:A

Question 9

Which of the following is FALSE regarding the fraud risk assessment team?

A. The team members should have experience in gathering and eliciting information
B. The team size should be limited to a maximum of three individuals.
C. The team members might include both internal and external sources
D. The team should consist of individuals with diverse knowledge, skills, and perspectives.

Correct Answer:B

Question 10

According to The Institute of Internal Auditors (IIA) International Standards for the Professional Practice of Internal Auditing, which of the following should the internal audit team evaluate in its assessment of the risk management process?

A. The materiality of the organization s financial statements
B. The organization s fraud risk management initiatives
C. The management team's assessment of the internal controls over financial reporting
D. The organization s risk exposures relating to the sale of assets

Correct Answer:B