ACFE Updated CFE-Fraud-Prevention-and-Deterrence Exam Questions and Answers by lauren

Employees who steal do not commonly display lifestyle or behavioral warning signs of their misdeeds.

An increase in employee wealth is always a sign of fraud that should be investigated.

Managers should only observe employees for signs of suspicious behavioral or lifestyle changes if they can do so without the employees ' knowledge.

Managers should be instructed to observe employees for any unusual lifestyle improvements, such as an unexplained increase in luxury purchases.

Receipt of kickbacks

Espionage by competitors

Payment of bribes

Aiding and abetting vendor fraud

Include descriptions of the procedures that management uses to detect fraud.

Include examples of prior employee misconduct and how those situations were handled.

Be restricted to formal educational mechanisms to reinforce the importance of the message.

Be presented by organizational executives or anti-fraud professionals only.

It prioritizes implementing detective controls over preventive controls.

It deters fraudsters by increasing the perception that fraud will be detected.

It fully eliminates the risk of fraud by removing opportunities for misbehavior.

It focuses more on preventive controls than detective controls.