CFE-Financial-Transactions-and-Fraud-Schemes Certified Fraud Examiner - Financial Transactions and Fraud Schemes Exam Questions and Answers

Accounting records are designed to be kept on subjective rather than objective evidence.

When an incorrect total is carried from the journal to the ledger or from ledger to the financial statements, this method is called:

Depreciation is especially applicable when companies try to overvalue their assets and net worth; the lower their depreciation expense, the higher the company’s profits.

__________ is required if and when officers, executives or other persons in trusted positions become subjects of a criminal indictment.

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

________ increase assets and expenses and/or decrease liabilities and/or equity

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

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

A person is said to be in ________ act, when the business which he transacts, or the money or property which he handles, is not for his own benefit, but for another person:

Which of the following is NOT standard of generally accepted accounting principles?

Fraudsters use the accounting system as a tool to generate the results they want in ___________ approach:

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

When situational pressures and perceived opportunities are low and personal integrity is high, occupational fraud is much more likely to occur than when the opposite is true.

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

Physical assets including _________ and ________ are the most commonly misappropriated noncash asset in our study.

A special scheme in which employees know their employer is seeking to purchase a certain asset and take advantage of the situation by purchasing the asset themselves is:

__________ are the amounts which are owned to other entities:

Forced reconciliation of the account says:

The scheme which reduces victim companies to issue fraudulent payments for goods or services that they have not received is called:

According to fraud tree, cash has three following schemes:

______________ can be detected by closely examining the documentation submitted with the cash receipts.

The scheme which reduces victim companies to issue fraudulent payments for goods or services that they have not received is called:

One reason employees might be hesitant to use PO boxes in shell company schemes is that some businesses are specially vary of sending checks to vendors that have street addresses only.

Most of the shell company schemes involve the purchase of goods rather than services.