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

1. Depreciation is especially applicable when companies try to overvalue their assets and net worth; the lower their depreciation expense, the higher the company's profits.

A) False
B) True

2. ______________ is required not only for theft, but for procedures to detect errors, avoid waste, and ensure a proper amount of inventory is maintained.

3. Which of the following scenarios is an example of an economic extortion scheme?

A) A judge threatens to rule against a defendant during a judicial proceeding unless the defendant pays them money.
B) A driver caught violating the speed limit offers a law enforcement officer payment to avoid receiving a speeding ticket.
C) A purchasing employee and vendor agree to bill the employee's company for services that the vendor did not provide.
D) A contractor rewards a government employee with concert tickets after winning a contract with their agency.

4. A running count that records how much inventory should be on hand is referred to:

A) Shrinking inventory
B) Perpetual inventory
C) Altered inventory
D) Fictitious inventory

5. Which of the following is TRUE regarding pyramid schemes?

A) None of the above
B) An illegal pyramid scheme is modeled to pay off its earliest investors but not its later investors
C) All pyramid organizational structures are illegal
D) The goal that participants of pyramid schemes have is to sell worthless products to friends and family

Solutions: