[Aug 28, 2023] CFE-Financial-Transactions-and-Fraud-Schemes Exam Dumps, CFE-Financial-Transactions-and-Fraud-Schemes Practice Test Questions [Q38-Q59]

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[Aug 28, 2023] CFE-Financial-Transactions-and-Fraud-Schemes Exam Dumps, CFE-Financial-Transactions-and-Fraud-Schemes Practice Test Questions

Free CFE-Financial-Transactions-and-Fraud-Schemes Study Guides Exam Questions and Answer

NEW QUESTION 38
Larceny is the scheme in which an employee simply takes inventory from the company premises without attempting to conceal it in the books and records.

True

False

NEW QUESTION 39
Which of the following is the MOST ACCURATE statement about the different types of malware?

A worm is a type of software that, while not definitely malicious, has a suspicious or potentially unwanted aspect to it.

Ransomware is a malicious self-replicating computer program that penetrates operating systems to spread malicious code to other computers.

Spyware is software that collects and reports information about a computer user without the user’s knowledge or consent.

A Trojan horse is a software program that, while not definitely malicious, monitors and logs the keys pressed on a system’s keyboard.

Explanation/Reference: https://www.techtarget.com/searchsecurity/definition/spyware#:~:text=Spyware%20is%20a%20type%20of,data%20firms%20or%20external%20users

NEW QUESTION 40
Which of the following is not the skimming scheme?

Unrecorded sales

Fraud & Cost

Theft of checks through the mail

Understand sales and receivables

NEW QUESTION 41
Which of the following would NOT be helpful in the prevention of expense reimbursement schemes?

Requiring all receipts to be submitted electronically

Comparing current expenses to budgeted expense amounts

Requiring employees to explain the specific business purpose of each expense

Comparing current expenses to historical expenditure amounts

Explanation/Reference: https://www.acfe.com/uploadedFiles/Shared_Content/Products/Self-Study_CPE/FundamentalsofComputerandInternetFraud2019_Extract.pdf

NEW QUESTION 42
Which of the following is an example of a cash larceny scheme?

Michael is a cashier at a clothing store. He rings up a fictitious return of a $50 sweater and takes $50 from the cash register.

Scott rings a “no sale” transaction at his cash register, opens the drawer, and takes a $100 bill.

Anne buys a $500 table from a resale shop. Olive, the cashier, rings up a $400 sale on the register and steals the excess $100.

Laura pretends to ring up a sale when Amy makes a purchase, but instead she pockets Amy’s cash and gives her the merchandise without recording the sale.

Explanation/Reference: https://www.agacgfm.org/Intergovernmental-Toolbox/Fraud-Prevention/Tools-by-Fraud-Type/Cash-Larceny.aspx#:~:text=Among%20the%20five%20most%20prevalent,Stealing%20cash%20from%20the%
20register

NEW QUESTION 43
All of the following measures would help prevent the theft of company inventory EXCEPT:

Having the purchasing supervisor perform the physical inventory count

Restricting inventory access to authorized personnel only

Having different people responsible for receiving inventory and shipping it

Using prenumbered inventory receiving reports

NEW QUESTION 44
What type of fraud scheme would an analysis of payroll withholdings be MOST LIKELY to reveal?

A falsified hours and salary scheme

A ghost employee scheme

A fraudulent commissions scheme

An expense reimbursement scheme

Explanation/Reference: https://www.acfe.com/uploadedFiles/Shared_Content/Products/Self-Study_CPE/Intro%20to%20Fraud-Chapter%20Excerpt.pdf

NEW QUESTION 45
The amount of cash on hand in a register may be compared to the amount showing in the register tape in order to detect _______.

Employee theft

Recorded sales

Internal audits

Occupational frauds

NEW QUESTION 46
In ___________ scheme, an employee creates false vouchers or submits false invoices to the employer.

Sale requisition

Purchase requisition

Voucher handling

Cash generating

NEW QUESTION 47
Which of the following situations MOST LIKELY constitutes health care fraud committed by an insurance company?

Negotiating discounts with medical providers and then failing to apply those discounts toward consumers’ medical bills

Failing to pay a claim because the claim is missing required information

Instituting procedures to detect fraudulent claims when acting as an intermediary for a government health care program

Submitting cost data to health care regulators to justify rate increases

NEW QUESTION 48
To keep the accounting equation in balance, which of the following actions will need to be taken if someone wants to conceal the fraudulent removal of a liability from the books?

Decreasing an asset

Decreasing a different liability

Creating a fictitious expense

Decreasing owners’ equity

NEW QUESTION 49
Which of the following is NOT the reason to bribe employees of the purchaser?

To ensure receipt of a late bid

To extend the bid opening date

To ensure bid-splitting

To falsify the bid log

NEW QUESTION 50
Maintain the presence of a manager or supervisor near the area of the cash register as a deterrent to theft is a prevention for:

Fraudulent statement scheme

Asset misappropriation scheme

Larceny scheme

NEW QUESTION 51
The fraudsters’ interest lies with an employer other than a company.

True

False

NEW QUESTION 52
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.

True

False

NEW QUESTION 53
__________ may be defined as the offering, giving, receiving or soliciting anything of value to influence an official act.

Corruption

Diverting business to vendors

Bribery

Lacking approval authority

NEW QUESTION 54
All of the following items appear on the balance sheet EXCEPT:

Liabilities

Cost of goods sold

Assets

Retained earnings

Explanation/Reference: https://www.investopedia.com/articles/fundamental-analysis/10/creative-accounting-balance-sheet.asp

NEW QUESTION 55
Employees with the authority to grant discounts in order to skim revenues may use which authority?

False discounts

Recording a discount on sale procedure

Internal discount sales audits

None of the above

NEW QUESTION 56
The essential elements of a ________ are an actual or constructive taking away of the goods or property of another with the without the consent and against the will of the owner and with a felonious intent.

Larceny

Abuse

Fiduciary

None of the above

NEW QUESTION 57
Which of the following is one of the categories on the statement of cash flows?

Cash flows from strategic activities

Cash flows from investing activities

Cash flows from supply chain activities

Cash flows from revenue activities

NEW QUESTION 58
According to Hollinger and Clark for Policy development, management must pay attention to:

A clear understanding regarding theft behavior

Enforcement of sanctions

Both A & B

Neither A nor B

NEW QUESTION 59
Bayan finds a residential property with an owner who lives far away. She forges the owner’s signature on property transfer documents that purport to give Bayan full ownership of the property. Bayan then takes the falsified documents to the bank and obtains a loan using the property as collateral. Which of the following BEST describes this scheme?

Property flopping

Fraudulent sale

Daisy chain

Air loan

Explanation/Reference: https://www.hg.org/legal-articles/house-sale-through-fraud-49141

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