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Are you ready to take the Certified Fraud Examiner - Fraud Prevention and Deterrence Exam? To learn CFE-Fraud-Prevention-and-Deterrence exam questions, smart security solutions, and move IT forward, you need the ACFE CFE-Fraud-Prevention-and-Deterrence Certification. Whether you're making security rules for the whole company or working on hard problems, ACFE makes sure you're ready for anything. Crack4sure offers study materials and practice problems covering the exam syllabus for ACFE Courses, including Certified Fraud Examiner - Fraud Prevention and Deterrence Exam. Check for daily deals to get products that can help you pass.

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  • Exam Name: Certified Fraud Examiner - Fraud Prevention and Deterrence Exam
  • Last Update: 04-Jul-2026
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CFE-Fraud-Prevention-and-Deterrence Questions and Answers

Question # 1

Which of the following statements BEST describes the objectives of a fraud risk management program?

A.

A fraud risk management program should solely focus on the formal procedures that management should take to address fraud before it occurs rather than after it occurs.

B.

A fraud risk management program should prioritize activities that detect fraud while it is occurring over activities that proactively identify and assess fraud risks.

C.

A fraud risk management program should include formal procedures for management to take in response to fraud, such as remediating control weaknesses.

D.

A fraud risk management program should incorporate policies and procedures designed to both prevent and detect fraud but should not address fraud responses.

Question # 2

Which of the following would MOST LIKELY be a violation of the ACFE Code of Professional Ethics?

A.

Rodrigo. a CFE. uncovered several material Internal control deficiencies unrelated to the Kickback scheme he was Investigating. In his final report to management. Rodrigo included information about the deficiencies even though they were unrelated to the situation he was hired to investigate.

B.

Vivian, a CFE, accepted an assignment to conduct a fraud examination within a manufacturing company. Because she was in a hurry to complete the investigation, she overlooked key items of evidence and ended up failing to uncover a major fraud scheme.

C.

Tom, a CFE, was hired by a client to conduct a fraud examination but found nothing amiss. A year later, he received a court order to provide the client ' s file to the ordering court. Tom complied with the court order, even though he did not have the client ' s authorization to do so.

D.

All of the above are violations.

Question # 3

Which of the following statements is MOST ACCURATE?

A.

Audits are most effective as a fraud prevention mechanism when they are conducted covertly without employees’ awareness or knowledge.

B.

Managers should ensure that employees remain unaware that they are being observed for signs of suspicious behavioral or lifestyle changes.

C.

Educating employees about hotlines and reporting programs has a limited effect on employees’ perception of detection.

D.

Controls are most effective in preventing theft and fraud if those at risk know of the presence of possible detection.

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