[May 09, 2023] Get New CFE-Financial-Transactions-and-Fraud-Schemes Practice Test Questions Answers [Q47-Q65]

09May 2023 by admin No Comments

Rate this post

[May 09, 2023] Get New CFE-Financial-Transactions-and-Fraud-Schemes Practice Test Questions Answers

CFE-Financial-Transactions-and-Fraud-Schemes Dumps and Exam Test Engine

QUESTION 47
The scheme in which the same vendor is receiving favorable treatment van be found in purchases by vendor searches.

True

False

QUESTION 48
According to fraud tree, cash has three following schemes:

Skimming, cash larceny and fraudulent disbursements

Fraud analysis, skimming and cash misappropriations

Cash larceny, cash distribution and fraudulent disbursements

Cash distribution, skimming and fraud analysis

QUESTION 49
A financial manager who pressures investors to take regular payouts rather than to reinvest their profits is a red flag of a Ponzi scheme.

True

False

Explanation/Reference: https://www.investor.gov/protect-your-investments/fraud/types-fraud/ponzi-scheme

QUESTION 50
Blue borrowed her employer’s snowplow for her own snow removal business, which she operates on the side.
Blue only used the snowplow on the weekends or after hours, when her employer was not open for business.
Blue falsified the mileage and usage logs for the snowplow so that no one would know she had been using it.
The snowplow was returned unharmed. Which of the following statements is MOST ACCURATE?

Blue committed larceny of a noncash asset.

Blue committed misuse of a noncash asset.

Blue committed a fictitious sales scheme.

Blue did not commit occupational fraud.

QUESTION 51
Which of the following statements about skimming is INCORRECT?

Skimming schemes can involve the theft of either cash sales or accounts receivable payments.

Skimming schemes are generally more difficult to detect than cash larceny schemes.

Skimming schemes involve stolen customer payments that have not yet been recorded.

Skimming schemes are considered on-book frauds because they leave an audit trail.

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

QUESTION 52
A scheme is classified as a Conflict of interest:

when an employee must have some kind of ownership or employment interest in the vendor submitting the invoice.

when a salesman must have some kind of ownership or employment interest in the vendor submitting the sales.

when a purchaser must have some kind of ownership or employment interest in the vendor submitting the purchase.

when a dealer must have some kind of dealership interest in the vendor submitting the stock.

QUESTION 53
Disabling the biometric features on a mobile device is a recommended action to help increase the security of mobile payments.

True

False

Explanation/Reference: https://www.thalesgroup.com/en/markets/digital-identity-and-security/government/inspired/biometrics

QUESTION 54
Which of the following can constitute a bribe, even if the illicit payment is never actually made?

Offering a payment

Corruption in payment

kickback payment

Overbilling in payment

QUESTION 55
A shell company scheme in which actual goods or services are sold to the victim company is known as:

Maintenance scheme

Allocation scheme

Distribution scheme

Pass-through scheme

QUESTION 56
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

QUESTION 57
How many accounts are affected in fraudulent accounting entries and therefore same number of categories on the financial statement?

One

At least two

More than two

None of above

QUESTION 58
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

QUESTION 59
The forms that allow noncash assets to be moved from one location in a company to another can be used to facilitate the misappropriation of those assets are called:

Inventory usages

Fake sales

Asset requisition

All of the above

QUESTION 60
If a construction developer submitted a draw request to a bank, which of the following would be most indicative of loan fraud?

Missing inspection reports

Including lien releases from subcontractors

Lack of documented expenses from other similar contracts

Evidence of change orders

QUESTION 61
Which of the following is NOT a justifiable reason to depart from generally accepted accounting principles (GAAP)?

Departing from GAAP will make the company appear more profitable.

Adherence to GAAP would produce misleading results.

It is a common industry practice to give particular transactions a specific accounting treatment.

The transaction at issue is considered to be immaterial.

QUESTION 62
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.

Fraudulent statement

Misappropriations

Conservatism

Matching

QUESTION 63
According to SAB 104, for the revenue to be typically considered realized or realizable and earned, which of the following criteria is NOT met:

Persuasive evidence of an arrangement exists

Services has been rendered

Timings have been met

Collectability is reasonably assured

QUESTION 64
What is sometimes used to overcome well-designed internal controls of a victim company?

Shell company

Fraudulent invoices

Collusion

Rubber stamp supervisors

QUESTION 65
Which of the following scenarios does NOT describe a card skimming or shimming scheme?

While processing a payment outside of the customer’s view, a retail employee uses a small device to scan and record the customer’s credit or debit card information.

A gadget attached to an ATM is used to fraudulently scan and record customers’ credit or debit card information while a small camera records their PINs.

When paying for a drink at a vending machine, a customer inserts their credit or debit card into a fraudulent device that scans and records their card information.

After processing a customer’s payment, a server returns with the receipt but keeps the credit or debit card hoping that the customer does not notice.

Explanation/Reference: https://www.experian.com/blogs/ask-experian/shimming-is-the-latest-credit-card-scam/#:~:text=’Shimming’%20is%20an%20update%20on,number%20on%20the%20dark%20web

Loading …

2023 New PracticeMaterial CFE-Financial-Transactions-and-Fraud-Schemes PDF Recently Updated Questions: https://www.practicematerial.com/CFE-Financial-Transactions-and-Fraud-Schemes-exam-materials.html

Leave a Reply Cancel reply