Fraud Flashcards
What does CFE stand for?
Certified Fraud Examiner
True or False: A CFE specializes in detecting and preventing fraud.
True
What organization offers the CFE certification?
Association of Certified Fraud Examiners (ACFE)
Fill in the blank: The CFE certification is recognized in _____ countries worldwide.
more than 150
What are the four main areas of expertise for a CFE?
Fraud prevention, fraud detection, fraud investigation, and legal elements of fraud.
Which of the following is NOT a requirement for obtaining the CFE certification: A) Professional experience, B) Passing an exam, C) A college degree, D) Paying a fee?
C) A college degree
True or False: CFEs must adhere to a strict code of ethics.
True
What is the primary purpose of the CFE certification?
To provide professionals with the skills necessary to detect and prevent fraud.
Which of the following topics is covered in the CFE exam: A) Financial Transactions, B) Information Technology, C) Legal Aspects, D) All of the above?
D) All of the above
What is the minimum experience requirement to apply for the CFE certification?
Two years of professional experience in fraud-related fields.
True or False: CFEs are only employed by law enforcement agencies.
False
What type of fraud involves the manipulation of financial statements?
Financial statement fraud
Short answer: Name one fraud detection technique used by CFEs.
Data analysis or forensic accounting.
Fill in the blank: The CFE exam consists of _____ multiple-choice questions.
250
What is the passing score for the CFE exam?
75%
True or False: CFEs can testify as expert witnesses in court cases.
True
What is the importance of continuing education for CFEs?
To stay updated on the latest fraud prevention and detection techniques.
Multiple choice: Which of the following is a common type of occupational fraud? A) Embezzlement, B) Tax evasion, C) Identity theft, D) Money laundering
A) Embezzlement
Fill in the blank: The CFE credential is valid for _____ years before renewal is required.
two
What is the role of a CFE in corporate governance?
To ensure that fraud risks are managed effectively.
Short answer: What is one key ethical principle that CFEs must follow?
Integrity or objectivity.
True or False: The CFE certification can enhance career advancement opportunities.
True
What is the relationship between fraud and internal controls?
Strong internal controls can help prevent and detect fraud.
Multiple choice: Which of the following is a common red flag for fraud? A) Unexplained discrepancies, B) High employee turnover, C) Lack of oversight, D) All of the above?
D) All of the above
Fill in the blank: CFEs often work with _____ to investigate financial crimes.
law enforcement agencies
What is the significance of the fraud triangle?
It illustrates the three elements that lead to fraud: opportunity, pressure, and rationalization.
