CFE-Fraud-Schemes-and-Financial-Crimes Practice Questions

A.  

Check for small orders placed from newly created customer accounts that do not have a purchase history.

B.  

Compare IP addresses for internet orders with those from previous orders placed by the same customer.

C.  

Examine orders in which customers declined rush or overnight shipping for their purchases.

D.  

Review orders in which a customer purchased several unique items during a single transaction.

A.  

Restricting the ability to access inventory to authorized personnel

B.  

Appointing one individual to receive incoming inventory shipments and then distribute them

C.  

Having the purchasing agent perform the physical inventory count

D.  

Using nonconsecutive shipping documents, job cost sheets, and inventory receiving reports

A.  

81

B.  

82

C.  

83

D.  

84

A.  

True

B.  

False

A.  

A vendor submits an electronic bill through the online payment system of a corporate client for services that the vendor did not provide.

B.  

A bank employee misrepresents the number of hours that they worked on their electronic time card to increase the amount of their paycheck.

C.  

A mail delivery employee intercepts and steals envelopes that contain prepaid debit and gift cards and uses them to gamble online.

D.  

A cashier at a store scans a customer’s credit card information into a small device so that the information can be used fraudulently at a later time.

A.  

Bribery receipt

B.  

Bid solicitation

C.  

To withdraw low bids

D.  

Contract acceptance

A.  

Exclusive control of the bankruptcy proceedings should be entrusted to the entity’s secured creditors.

B.  

An independent insolvency representative may supervise existing corporate management.

C.  

The organization’s creditors may elect a representative responsible for managing the organization.

D.  

The entity’s management must share control of governance responsibilities with its creditors.

A.  

Increasing another asset

B.  

Increasing owners' equity

C.  

Increasing a liability

D.  

Creating fictitious revenue

A.  

Journal Entries

B.  

Debit

C.  

Credit

D.  

None of all

A.  

Unrecorded sales, understated sales, and theft of incoming checks

B.  

Unrecorded sales, understated sales, and dual endorsements

C.  

False company accounts, understated sales, and theft of incoming checks

D.  

Understated sales, theft of incoming checks, and check-for-currency substitutions