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100% Pass Quiz The Best ACFE - CFE-Fraud-Prevention-and-Deterrence Actual Braindumps

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ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q130-Q135):

NEW QUESTION # 130
Aaron, a government auditor, is conducting a financial statement audit of a public-sector entity in accordance with the International Standards of Supreme Audit Institutions. Which of the following is TRUE regarding Aaron's consideration of fraud during this engagement?

A. Aaron should remain alert for fraud but does not need to consider the potential for abuse or other misconduct during the audit engagement.
B. Aaron does not need to comply with the requirements found in International Standard on Auditing 240, as they do not apply to the engagement.
C. Aaron's audit objectives are likely narrower than those of a private-sector financial statement audit.
D. Aaron likely does not have the ability to withdraw from the engagement, even if fraud is identified during the audit.

Answer: D

Explanation:
According to the ACFE Manual, in public-sector audits conducted under INTOSAI standards, "government auditors might not have the same level of discretion as private auditors to withdraw from engagements when fraud is detected." INTOSAI standards focus more on reporting and public transparency rather than withdrawal.
Reference:ACFE Fraud Examiners Manual, 2020 International Edition -Auditors' Fraud-Related Responsibilities, Section on INTOSAI Standards.

NEW QUESTION # 131
Which of the following statements is FALSE regarding an organization's fraud risk management program1?

A. The program must include mechanisms to monitor and identify breaches in compliance
B. A Formal sanctions for intentional noncompliance should be well-publicized throughout the company
C. There should be measures in place to address failures in the design or operation of anti-fraud controls, as well as fraud occurrervces
D. The responsibility of handling suspected incidences of noncompliance should be delegated to someone outside of the company

Answer: B

NEW QUESTION # 132
In the area of criminological theory, compliance is the theory that tries to prevent crime by providing economic incentives for voluntary conformity to the laws and using administrative efforts to control violations before they occur.

A. False
B. True

Answer: B

NEW QUESTION # 133
Criminologist Charles McCaghy has stated that regulatory pressure is the single most compelling factor behind deviance by organizations.

A. False
B. True

Answer: B

Explanation:
* McCaghy's Perspective on Organizational Deviance:Criminologist Charles McCaghy identified regulatory pressure as a significant factor influencing organizational deviance. Excessive or poorly implemented regulations can lead companies to cut corners or engage in fraudulent behavior to remain competitive.
* Supporting Analysis:
* Regulatory pressure can create a perception that compliance is too costly or burdensome, leading to unethical practices.
* This aligns with the concept of "strain theory," where organizations under pressure may resort to deviance.
* Conclusion:McCaghy's assertion that regulatory pressure is a key driver of organizational deviance is accurate.

NEW QUESTION # 134
Maria conducted a fraud examination that led to a valid confession of guilt from Rita. In Maria's verbal report to her superiors, she stated that, in her opinion. "Rita is guilty of embezzlement." Maria has just violated the ACFE Code of Professional Ethics.

A. False
B. True

Answer: B

Explanation:
ACFE Code of Professional Ethics:
* Fraud examiners must avoid expressing opinions about guilt or innocence. They are tasked with presenting evidence and findings objectively, leaving determinations of guilt to legal or regulatory authorities.
Why A is Correct:
* Maria's statement that "Rita is guilty" constitutes a violation because it goes beyond the role of a fraud examiner.
References:
* ACFE standards emphasize objectivity and avoidance of subjective judgments in fraud reporting.

NEW QUESTION # 135
......

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