Fraud Examination - Ch 1 Exam Questions and Answers Already Passed Latest Update 2025-2026
It is most often people who are not trusted that commit fraud. - AnswersF
What is the most important element in successful fraud schemes?
a. promised benefits
b. profitable activities
c. complexity
d. confidence in the perpetrator - Answersd.
Studying fraud will help you to:
a. learn evidence gathering skills
b. all of the above
c. avoid high risk and fraudulent activities
d. learn valuable interviewing skills - Answersb.
There is no difference between a Certified Fraud Examiner (CFE) and a Certified Public Accountant (CPA).
- AnswersF
People who commit fraud are usually:
a. new employees
b. people with strong personalities
c. not well-groomed, and have long hair and tattoos
d. trusted individuals - Answersd.
Which of the following statements is true?
a. FBI agencies are spending approximately 35% of their time on fraudulent activities
b. bank robberies are more costly than frauds
c. fraud is often labeled the fastest growing crime - Answersc
Indirect fraud occurs when a company's assets go directly into the perpetrator's pockets without the
involvement of third parties. - AnswersF
, "The use of one's occupation for personal enrichment through the deliberate misuse or misapplication
of the employing organization's resources or assets" is the definition of which of the following types of
fraud?
a. employee embezzlement or occupational fraud
b. investment scams
c. management fraud
d. vendor fraud - Answersa
Advances in technology have had no effect on the size or frequency of frauds committed. - AnswersF
Which of the following is not a reliable source for fraud statistics?
a. health agencies
b. fraud perpetrators
c. insurance organizations
d. FBI agencies - Answersb
In vendor fraud, customers don't pay for goods purchased - AnswersF
Which of the following is not an example of employee embezzlement?
a. land conservation employee stealing chain saws
b. angry employees vandalizing the building with spray paint
c. checkout cashiers stealing money from the cash register
d. salespeople overcharging for products and pocketing the excess cash - Answersb
Many companies hide their losses from fraud rather than make them public. - AnswersT
The only group / business that must report employee embezzlement is the federal government. -
AnswersF
The ACFE is a nonprofit organization dedicated to the prevention and detection of fraud throughout the
world. - AnswersT
Fraud involves using physical force to take something from someone. - AnswersF
Unintentional errors in financial statements are a form of fraud. - AnswersF
It is most often people who are not trusted that commit fraud. - AnswersF
What is the most important element in successful fraud schemes?
a. promised benefits
b. profitable activities
c. complexity
d. confidence in the perpetrator - Answersd.
Studying fraud will help you to:
a. learn evidence gathering skills
b. all of the above
c. avoid high risk and fraudulent activities
d. learn valuable interviewing skills - Answersb.
There is no difference between a Certified Fraud Examiner (CFE) and a Certified Public Accountant (CPA).
- AnswersF
People who commit fraud are usually:
a. new employees
b. people with strong personalities
c. not well-groomed, and have long hair and tattoos
d. trusted individuals - Answersd.
Which of the following statements is true?
a. FBI agencies are spending approximately 35% of their time on fraudulent activities
b. bank robberies are more costly than frauds
c. fraud is often labeled the fastest growing crime - Answersc
Indirect fraud occurs when a company's assets go directly into the perpetrator's pockets without the
involvement of third parties. - AnswersF
, "The use of one's occupation for personal enrichment through the deliberate misuse or misapplication
of the employing organization's resources or assets" is the definition of which of the following types of
fraud?
a. employee embezzlement or occupational fraud
b. investment scams
c. management fraud
d. vendor fraud - Answersa
Advances in technology have had no effect on the size or frequency of frauds committed. - AnswersF
Which of the following is not a reliable source for fraud statistics?
a. health agencies
b. fraud perpetrators
c. insurance organizations
d. FBI agencies - Answersb
In vendor fraud, customers don't pay for goods purchased - AnswersF
Which of the following is not an example of employee embezzlement?
a. land conservation employee stealing chain saws
b. angry employees vandalizing the building with spray paint
c. checkout cashiers stealing money from the cash register
d. salespeople overcharging for products and pocketing the excess cash - Answersb
Many companies hide their losses from fraud rather than make them public. - AnswersT
The only group / business that must report employee embezzlement is the federal government. -
AnswersF
The ACFE is a nonprofit organization dedicated to the prevention and detection of fraud throughout the
world. - AnswersT
Fraud involves using physical force to take something from someone. - AnswersF
Unintentional errors in financial statements are a form of fraud. - AnswersF
