Practice CFE-Fraud-Prevention-and-Deterrence Exam Online

Question 1

Professional auditing standards require that auditors incorporate an "element of unpredictability" in the selection of auditing procedures to be performed.

A : True

B : False

Answer: A

Question 2

Which of the following is LEAST LIKELY to be a factor that directors and management should consider when developing a corporate governance framework for an organization?

A : The organization's cultural environment

B : The organization's legal and regulatory environment

C : The organization's physical operating environment

D : The organization's ethical environment

Answer: C

Question 3

To reinforce an anti-fraud culture, it is BEST for an organization's management to:

A : Use a checklist of initiatives to ensure that all the elements of a strong corporate culture are in place.

B : Require senior leaders to follow the same ethics policies that are in place for all staff-level employees.

C :

Discourage employees from questioning their immediate supervisor's actions or decisions if they have concerns.

D : Discipline any employees who publicly express their frustration regarding organizational policies.

Answer: B

Question 4

According to ACFE research, which of the following is TRUE regarding the three major categories of occupational fraud?

A : Identity theft is both the most common and costliest category of occupational fraud.

B : Asset misappropriation schemes are the most common category of occupational fraud.

C : Corruption schemes are the costliest category of occupational fraud.

D : Financial statement fraud schemes are the most common category of occupational fraud.

Answer: B

Question 5

Which of the following is TRUE regarding the communication of the fraud risk assessment process?

A :

The more personalized the communication, the more effective it will be in encouraging employees to participate

B :

The communication should be made in a format mat is most appropriate for the culture of the organization

C : The communication should be visibly disseminated throughout the business

D : All of the above

Answer: D

Name:	Certified Fraud Examiner - Fraud Prevention and Deterrence
Exam Code:	CFE-Fraud-Prevention-and-Deterrence
Certification:	Certified Fraud Examiner
Vendor:	ACFE
Total Questions:	360
Last Updated:	Oct 01, 2026

ACFE CFE-Fraud-Prevention-and-Deterrence Answers