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ACFE Certified Fraud Examiner Sample Questions:

1. Which of the following statements concerning civil trials in civil law jurisdictions is most accurate?

A) The standard of proof in civil trials is lower than it is in criminal trials.
B) Neither side may appeal an adverse judgment in a civil case.
C) Civil trials are typically a single event rather than a continual series of meetings and correspondences.
D) The standard of proof in civil trials is often described as the inner conviction of the judge.

2. A custodial arrest occurs when the suspect is questioned by a law enforcement officer.

A) False
B) True

3. The concealment of assets occurs most commonly in which of the following types of fraud schemes?

A) Income smoothing
B) Bankruptcy fraud
C) Payroll fraud
D) Fictitious revenues

4. Which of the following statements regarding using front businesses as a method of laundering money is MOST ACCURATE?

A) A front business that conducts legitimate business can provide cover for delivery and transportation related to illegal activity.
B) Front businesses are a favored method because it is easy to match the costs associated with providing customers food, liquor, and entertainment with the revenues produced.
C) Front businesses can often be detected because these businesses have a large number of customers during peak operating hours and high income.
D) Bars, restaurants, and nightclubs are commonly used as front businesses because these venues tend to charge relatively low prices and customers rarely vary in their purchases.

5. Aliyah is an employee at Chatham, a publicly traded corporation, and she owns shares of Chatham ' s stock.
Aliyah learns that Chatham is going to publicly announce low earnings, so she sells her shares of Chatham ' s stock. If her conduct is illegal in the jurisdiction where she works and resides, then what type of crime did Aliyah MOST LIKELY commit?

A) Futures fraud
B) Trading on margin
C) Insider trading
D) Churning

Solutions: