Question 1

What is known as dilution?

Accepted Answer

A) The artificial difference between the NAV and the fair value of the securities. 
B) An investment technique that involves short-term "in-and-out" trading of mutual fund shares. 
C) The loss resulting from "forward pricing" requirements. 
D) The harm caused by the transfer of wealth from long-term investors to market timers. 
A) The artificial difference between the NAV and the fair value of the securities. 
B) An investment technique that involves short-term "in-and-out" trading of mutual fund shares. 
C) The loss resulting from "forward pricing" requirements. 
D) The harm caused by the transfer of wealth from long-term investors to market timers.

Question 2

The 2010 ACFE Report to the Nation on Occupational Fraud & Abuse covers three types of fraud against organizations: Which of the following is one of them?

Accepted Answer

A) Corruption 
B) Bid-rigging 
C) Check tampering 
D) Lapping 
A) Corruption 
B) Bid-rigging 
C) Check tampering 
D) Lapping

Question 3

Employees,vendors,and customers of organizations have three opportunities to steal assets.Which of the following is NOT one among them?

Accepted Answer

A) Steal receipts of cash and other assets as they are coming into an organization. 
B) Steal cash,inventory,and other assets that are on hand. 
C) Commit disbursement fraud by having the organization pay for something it shouldn't pay for or pay too much for something it purchases. 
D) Paying off public officials or company insiders for preferential treatment. 
A) Steal receipts of cash and other assets as they are coming into an organization. 
B) Steal cash,inventory,and other assets that are on hand. 
C) Commit disbursement fraud by having the organization pay for something it shouldn't pay for or pay too much for something it purchases. 
D) Paying off public officials or company insiders for preferential treatment.

Question 4

Which of the following is an example of a register-disbursement scheme?

Accepted Answer

A) A perpetrator who processes transactions as if a customer were returning merchandise,even though there is no actual return. 
B) A perpetrator uses the expense register to falsely record expenses that are then paid out by the A/P department. 
C) A perpetrator physically prepares a check from the check register claiming it is a legitimate expense when it is not. 
D) A perpetrator slowly takes money from the register drawer after making regular sales,showing that a discount was given to a customer on the receipt. 
A) A perpetrator who processes transactions as if a customer were returning merchandise,even though there is no actual return. 
B) A perpetrator uses the expense register to falsely record expenses that are then paid out by the A/P department. 
C) A perpetrator physically prepares a check from the check register claiming it is a legitimate expense when it is not. 
D) A perpetrator slowly takes money from the register drawer after making regular sales,showing that a discount was given to a customer on the receipt.

Question 5

According to the ACFE study described in the text,which fraudulent disbursement scheme occurs most frequently?

Accepted Answer

A) Billing scheme 
B) Wire transfers 
C) Payroll scheme 
D) Register disbursements 
A) Billing scheme 
B) Wire transfers 
C) Payroll scheme 
D) Register disbursements

Question 6

All of the following are possible ways to commit fraud by using a payroll scheme EXCEPT:

Accepted Answer

A) overstating expenses. 
B) falsifying hours worked. 
C) creating ghost employees. 
D) producing false worker compensation claim. 
A) overstating expenses. 
B) falsifying hours worked. 
C) creating ghost employees. 
D) producing false worker compensation claim.

Question 7

Two basic fraudulent register disbursement schemes are:

Accepted Answer

A) purchase schemes and sales schemes. 
B) bid-rigging schemes and kickbacks. 
C) ghost employees and commission schemes. 
D) false refunds and false voids. 
A) purchase schemes and sales schemes. 
B) bid-rigging schemes and kickbacks. 
C) ghost employees and commission schemes. 
D) false refunds and false voids.

Question 8

Kickback schemes almost always attack the _____ function of the victim company.

Accepted Answer

A) sales 
B) accounting 
C) human resources 
D) purchasing 
A) sales 
B) accounting 
C) human resources 
D) purchasing

What is known as dilution?

The 2010 ACFE Report to the Nation on Occupational Fraud & Abuse covers three types of fraud against organizations: Which of the following is one of them?

Employees,vendors,and customers of organizations have three opportunities to steal assets.Which of the following is NOT one among them?

Which of the following is an example of a register-disbursement scheme?

According to the ACFE study described in the text,which fraudulent disbursement scheme occurs most frequently?

All of the following are possible ways to commit fraud by using a payroll scheme EXCEPT:

Two basic fraudulent register disbursement schemes are:

Kickback schemes almost always attack the _____ function of the victim company.

The Nature of Fraud

Why People Commit Fraud

Fighting Fraud: an Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Liability,asset,and Inadequate Disclosure Frauds

Consumer Fraud

Bankruptcy, divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters

Exam 14: Fraud Against Organizations

What is known as dilution?

The 2010 ACFE Report to the Nation on Occupational Fraud & Abuse covers three types of fraud against organizations: Which of the following is one of them?

Employees,vendors,and customers of organizations have three opportunities to steal assets.Which of the following is NOT one among them?

Which of the following is an example of a register-disbursement scheme?

According to the ACFE study described in the text,which fraudulent disbursement scheme occurs most frequently?

All of the following are possible ways to commit fraud by using a payroll scheme EXCEPT:

Two basic fraudulent register disbursement schemes are:

Kickback schemes almost always attack the _____ function of the victim company.

The Nature of Fraud

Why People Commit Fraud

Fighting Fraud: an Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Liability,asset,and Inadequate Disclosure Frauds

Consumer Fraud

Bankruptcy, divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters