CFE-FINANCIAL-TRANSACTIONS-AND-FRAUD-SCHEMES Online Practice Questions and Answers

Delivery has not occurred or services have not been rendered when:

A. Until installation and customer testing and acceptance has occurred.

B. A written order exists but contains a right of return.

C. Both A and B

D. Neither A nor B

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

A. Maintenance scheme

B. Allocation scheme

C. Distribution scheme

D. Pass-through scheme

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

A. Journal Entries

B. Debit

C. Credit

D. None of all

Which of the following method is NOT used to detect conflicts of interest?

A. Tips and Complaints

B. Review of vendor ownership files

C. Underbillings of assets

D. Interviews with purchasing personnel

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

A. Organized accounting

B. Playing the accounting

C. beating accounting

D. All of the above

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

A. True

B. False

The most common method of detection in corruption cases is: A. Internal audits

B. Internal controls

C. Tips

D. By accident

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

A. To ensure receipt of a late bid

B. To extend the bid opening date

C. To ensure bid-splitting

D. To falsify the bid log

The more power a person has over the bidding process, the more likely the person can influence the selection of a supplier.

A. True

B. False

According to a survey, in principal perpetrator, males in a majority of cases, accounting for ___ percent of frauds versus ___ percent in which a female was the primary culprit.

A. 62 versus 36

B. 61 versus 39

C. 62 versus 37

D. None of the above