ACAMS - Practice Test with all Correct & 100% Verified
Answers |Latest Version |Already Graded A+
Which of the following is a key element of an organization's AML/CFT compliance program?
✔Correct Answer-An annual independent audit to ensure the program's effectiveness
In which phase will the auditor gather information about the AML processes of the audited entity?
✔Correct Answer-Planning
Which item is a determination that can be made by performing an AML audit program risk
assessment? ✔Correct Answer-The AML risk rating of each entity
In confirming the inventory of the entire audit structure during annual audit planning, which
component is associated with an AML auditable entity? ✔Correct Answer-Risk and control self-
assessments
How can an auditor independently validate a control? ✔Correct Answer-Review, recalculate, and
reperform the control
A major risk event has occurred within an organization in which significant changes in a transaction
monitoring process were made. Which element of the risk assessment should the AML auditor
assess? ✔Correct Answer-The effectiveness of the changes to address the risk event and the
existence of the relevant policy update
Which situation would result in a request for additional sample sets or supporting documentation
after an audit has begun? ✔Correct Answer-The sample set provided indicates significant issues or
conflicting information
Which option would affect the scope and objectives of an audit? ✔Correct Answer-Results of
previous AML risk assessment
Which option is a step that can be taken by the auditor to determine the root cause of an issue?
✔Correct Answer-Expand testing to other areas that could have contributed to the issue
What is the purpose of testing a deficient area once remediation has taken place? ✔Correct
Answer-To provide assurance to the board of directors and regulators
Why is it important for regulated entities to check the background information on an auditor's
qualifications and experience in AML/CFT matters? ✔Correct Answer-To determine the auditor's
suitability to perform the job
Which of the following functions performs testing of the AML/CFT framework? ✔Correct Answer-
Audit
Which of the following elements should the auditor assess to determine the auditee's awareness of a
regulatory change? ✔Correct Answer-AML policies, processes, and procedures
What is the overarching objective of auditing an organization's AML controls? ✔Correct Answer-To
meet regulatory requirements
, What is the purpose of validation in AML risk mitigation to address a prior issue? ✔Correct
Answer-To ensure that the root cause of the problem was addressed and the risk-mitigation measure
was successful
Which of the following is a key factor in providing evidence of the effectiveness of a control?
✔Correct Answer-Standard of measurement or objective of control
Which of the following is an active risk strategy? ✔Correct Answer-Risk reduction
Which of the following entities facilitates cooperation and intelligence-sharing between national
financial intelligence units (FIUs) to investigate and prevent money laundering and terrorist
financing? ✔Correct Answer-Egmont Group
Which of the following is true regarding AML/CFT supervision and financial intelligence across
various regions? ✔Correct Answer-There could be more than one way of supervising AML/CFT and
gathering financial intelligence across various regions
Which of the following is a reason for professional money launderers to engage with professional
lawyers and accountants? ✔Correct Answer-To create a layer of legitimacy
Which international organization is responsible for identifying jurisdictions with strategic AML/CFT
deficiencies through mutual evaluations? ✔Correct Answer-Financial Action Task Force
What is the link between the enterprise-wide risk assessment (EWRA) and CDD controls, policies,
and procedures? ✔Correct Answer-The EWRA identifies risks and informs the CDD controls,
policies, and procedures necessary to mitigate them.
When an AML auditor is about to perform testing of a particular control, what is a good starting
point of the testing methodology? ✔Correct Answer-The control meets regulatory requirements
What is the final step in EWRA methodology? ✔Correct Answer-Create action plans to close
control gaps and address ineffective controls
What is the major difference between the qualitative method and the quantitative method of testing
design effectiveness of an organization's enterprise-wide risk assessment (EWRA)? ✔Correct
Answer-The qualitative method is subjective, and the quantitative method utilizes evidence and
documents.
Which of the following is the basis for auditing the enterprise-wide risk assessment (EWRA) design
effectiveness? ✔Correct Answer-The individual methodology of the risk assessment
How do you calculate actual, or residual, risk? ✔Correct Answer-Inherent risk - Controlled risk =
Residual risk
What is the basis for the performance of a risk assessment? ✔Correct Answer-Methodology
Which of the following is key to validating the compliance department's assessment of control
effectiveness? ✔Correct Answer-Ensuring that all relevant factors were included in its assessment,
such as recent and past audit findings
Answers |Latest Version |Already Graded A+
Which of the following is a key element of an organization's AML/CFT compliance program?
✔Correct Answer-An annual independent audit to ensure the program's effectiveness
In which phase will the auditor gather information about the AML processes of the audited entity?
✔Correct Answer-Planning
Which item is a determination that can be made by performing an AML audit program risk
assessment? ✔Correct Answer-The AML risk rating of each entity
In confirming the inventory of the entire audit structure during annual audit planning, which
component is associated with an AML auditable entity? ✔Correct Answer-Risk and control self-
assessments
How can an auditor independently validate a control? ✔Correct Answer-Review, recalculate, and
reperform the control
A major risk event has occurred within an organization in which significant changes in a transaction
monitoring process were made. Which element of the risk assessment should the AML auditor
assess? ✔Correct Answer-The effectiveness of the changes to address the risk event and the
existence of the relevant policy update
Which situation would result in a request for additional sample sets or supporting documentation
after an audit has begun? ✔Correct Answer-The sample set provided indicates significant issues or
conflicting information
Which option would affect the scope and objectives of an audit? ✔Correct Answer-Results of
previous AML risk assessment
Which option is a step that can be taken by the auditor to determine the root cause of an issue?
✔Correct Answer-Expand testing to other areas that could have contributed to the issue
What is the purpose of testing a deficient area once remediation has taken place? ✔Correct
Answer-To provide assurance to the board of directors and regulators
Why is it important for regulated entities to check the background information on an auditor's
qualifications and experience in AML/CFT matters? ✔Correct Answer-To determine the auditor's
suitability to perform the job
Which of the following functions performs testing of the AML/CFT framework? ✔Correct Answer-
Audit
Which of the following elements should the auditor assess to determine the auditee's awareness of a
regulatory change? ✔Correct Answer-AML policies, processes, and procedures
What is the overarching objective of auditing an organization's AML controls? ✔Correct Answer-To
meet regulatory requirements
, What is the purpose of validation in AML risk mitigation to address a prior issue? ✔Correct
Answer-To ensure that the root cause of the problem was addressed and the risk-mitigation measure
was successful
Which of the following is a key factor in providing evidence of the effectiveness of a control?
✔Correct Answer-Standard of measurement or objective of control
Which of the following is an active risk strategy? ✔Correct Answer-Risk reduction
Which of the following entities facilitates cooperation and intelligence-sharing between national
financial intelligence units (FIUs) to investigate and prevent money laundering and terrorist
financing? ✔Correct Answer-Egmont Group
Which of the following is true regarding AML/CFT supervision and financial intelligence across
various regions? ✔Correct Answer-There could be more than one way of supervising AML/CFT and
gathering financial intelligence across various regions
Which of the following is a reason for professional money launderers to engage with professional
lawyers and accountants? ✔Correct Answer-To create a layer of legitimacy
Which international organization is responsible for identifying jurisdictions with strategic AML/CFT
deficiencies through mutual evaluations? ✔Correct Answer-Financial Action Task Force
What is the link between the enterprise-wide risk assessment (EWRA) and CDD controls, policies,
and procedures? ✔Correct Answer-The EWRA identifies risks and informs the CDD controls,
policies, and procedures necessary to mitigate them.
When an AML auditor is about to perform testing of a particular control, what is a good starting
point of the testing methodology? ✔Correct Answer-The control meets regulatory requirements
What is the final step in EWRA methodology? ✔Correct Answer-Create action plans to close
control gaps and address ineffective controls
What is the major difference between the qualitative method and the quantitative method of testing
design effectiveness of an organization's enterprise-wide risk assessment (EWRA)? ✔Correct
Answer-The qualitative method is subjective, and the quantitative method utilizes evidence and
documents.
Which of the following is the basis for auditing the enterprise-wide risk assessment (EWRA) design
effectiveness? ✔Correct Answer-The individual methodology of the risk assessment
How do you calculate actual, or residual, risk? ✔Correct Answer-Inherent risk - Controlled risk =
Residual risk
What is the basis for the performance of a risk assessment? ✔Correct Answer-Methodology
Which of the following is key to validating the compliance department's assessment of control
effectiveness? ✔Correct Answer-Ensuring that all relevant factors were included in its assessment,
such as recent and past audit findings
