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ACFE Certified Fraud Examiner -Fraud Schemes and Financial Crimes Sample Questions:

1. _________ is defined as a person who works for the victim organization and who is the primary culprit.

2. Which of the following is the MOST ACCURATE statement about the phases of procurements involving open and free competition among contractors?

A) In the presolicitation phase, prospective contractors prepare and submit their bids.
B) In the post-award and administration phase, the parties that were contracted perform their contractual obligations.
C) In the bid evaluation and award phase, the procuring entity issues the solicitation document.
D) In the solicitation phase, the procuring entity identifies its needs and develops the criteria used to award the contract.

3. Which of the following is a method that might be used to fraudulently overstate the inventory balance?

A) Failing to write off obsolete inventory
B) Recording an allowance for sales returns
C) Failing to record bad debt expense
D) Applying the lower of cost or net realizable value

4. ____________ is a summary of the account balances carried in a ledger.

A) General journal
B) Financial statement
C) Balance sheet
D) Income statement

5. Larceny is the scheme in which an employee simply takes inventory from the company premises without attempting to conceal it in the books and records.

A) True
B) False

Solutions: