CFE-Financial-Transactions-and-Fraud-Schemes ACFE Exam Questions and Free Practice Test

The most common method of detection in corruption cases is:

A. Internal audits

B. Internal controls

C. Tips

D. By accident

Correct Answer:C

Bid-rigging scheme occurs when:

A. an employee fraudulently assists a vendor in winning a contract through the competitive bidding process.

B. an employee does not assist a vendor in winning a contract through the competitive bidding process.

C. an employee once assists a vendor in winning a contract through a single competitive bidding process.

D. an employee once assists a vendor in winning a contract through a single competitive bidding process.

Correct Answer:A

False billing scheme states that:

A. employees do not cause their company to purchase merchandise that the company does not need.

B. employees cause their company to sale merchandise that the company does not need.

C. employees do not cause their company to sale merchandise that the company does not need.

D. employees cause their company to purchase merchandise that the company does not need

Correct Answer:D

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

According to Hollinger and Clark for Policy development, management must pay attention to:

A. A clear understanding regarding theft behavior

B. Enforcement of sanctions

C. Both A & B

D. Neither A nor B

Correct Answer:C

By what accountant means that the financial figures presented by the company are at least as much as reflected in the statements, if not more.

A. Fraudulent statement

B. Misappropriations

C. Conservatism

D. Matching

Correct Answer:C

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