CERTIFIED COMPLIANCE & ETHICS
PROFESSIONAL (CCEP) EXAM QUESTION
AND CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
INSTANT DOWNLOAD PDF
1. The primary purpose of a compliance and ethics program is to:
A. Eliminate all organizational risk
B. Increase profitability
C. Prevent, detect, and respond to misconduct
D. Replace internal audit
Rationale: A compliance and ethics program is designed to prevent,
detect, and respond to violations of law and unethical conduct, not to
eliminate all risk or replace other functions.
2. Which organization publishes the Federal Sentencing Guidelines for
Organizations (FSGO)?
A. Department of Justice
B. Securities and Exchange Commission
C. U.S. Sentencing Commission
D. Office of Inspector General
Rationale: The U.S. Sentencing Commission issues the FSGO, which outline
expectations for effective compliance programs.
3. An effective compliance program should be:
A. Reactive only
B. Identical across all organizations
C. Risk-based and tailored to the organization
, D. Focused solely on training
Rationale: Compliance programs must be risk-based and tailored to the
organization’s size, industry, and risk profile.
4. Tone at the top refers to:
A. The organization’s written code
B. Regulatory guidance
C. Leadership’s commitment to ethics and compliance
D. Employee training frequency
Rationale: Tone at the top reflects senior leadership’s demonstrated
commitment to ethical behavior and compliance.
5. Which is a key responsibility of a compliance officer?
A. Approving all business decisions
B. Acting as legal counsel
C. Overseeing the compliance program’s implementation
D. Managing human resources
Rationale: Compliance officers oversee and monitor the effectiveness of
the compliance program.
6. The board of directors’ primary compliance role is to:
A. Conduct investigations
B. Draft policies
C. Provide oversight of the compliance program
D. Deliver employee training
Rationale: Boards are responsible for oversight, not day-to-day
compliance operations.
7. A code of conduct should primarily:
A. Replace detailed policies
B. Be written for regulators only
C. Set expectations for ethical behavior
D. Focus only on legal requirements
Rationale: A code of conduct sets behavioral and ethical expectations for
all employees.
, 8. Risk assessment in compliance is used to:
A. Predict profits
B. Assign blame
C. Identify and prioritize compliance risks
D. Eliminate audits
Rationale: Risk assessments help identify and prioritize areas of
compliance risk.
9. Which training method is generally most effective?
A. One-time orientation only
B. Generic training for all roles
C. Targeted training based on risk and role
D. Voluntary training only
Rationale: Targeted, role-based training is more effective in addressing
specific risks.
10.Policies and procedures should be:
A. Confidential
B. Complex and technical
C. Clear, accessible, and practical
D. Written only by lawyers
Rationale: Effective policies are understandable and accessible to
employees.
11.Monitoring differs from auditing because monitoring is:
A. External
B. Less important
C. Ongoing and routine
D. Performed only by regulators
Rationale: Monitoring is continuous, while auditing is periodic and more
formal.
12.Internal reporting mechanisms should allow:
A. Anonymous reporting
B. Retaliation
PROFESSIONAL (CCEP) EXAM QUESTION
AND CORRECT ANSWERS (VERIFIED
ANSWERS) PLUS RATIONALES 2026 Q&A
INSTANT DOWNLOAD PDF
1. The primary purpose of a compliance and ethics program is to:
A. Eliminate all organizational risk
B. Increase profitability
C. Prevent, detect, and respond to misconduct
D. Replace internal audit
Rationale: A compliance and ethics program is designed to prevent,
detect, and respond to violations of law and unethical conduct, not to
eliminate all risk or replace other functions.
2. Which organization publishes the Federal Sentencing Guidelines for
Organizations (FSGO)?
A. Department of Justice
B. Securities and Exchange Commission
C. U.S. Sentencing Commission
D. Office of Inspector General
Rationale: The U.S. Sentencing Commission issues the FSGO, which outline
expectations for effective compliance programs.
3. An effective compliance program should be:
A. Reactive only
B. Identical across all organizations
C. Risk-based and tailored to the organization
, D. Focused solely on training
Rationale: Compliance programs must be risk-based and tailored to the
organization’s size, industry, and risk profile.
4. Tone at the top refers to:
A. The organization’s written code
B. Regulatory guidance
C. Leadership’s commitment to ethics and compliance
D. Employee training frequency
Rationale: Tone at the top reflects senior leadership’s demonstrated
commitment to ethical behavior and compliance.
5. Which is a key responsibility of a compliance officer?
A. Approving all business decisions
B. Acting as legal counsel
C. Overseeing the compliance program’s implementation
D. Managing human resources
Rationale: Compliance officers oversee and monitor the effectiveness of
the compliance program.
6. The board of directors’ primary compliance role is to:
A. Conduct investigations
B. Draft policies
C. Provide oversight of the compliance program
D. Deliver employee training
Rationale: Boards are responsible for oversight, not day-to-day
compliance operations.
7. A code of conduct should primarily:
A. Replace detailed policies
B. Be written for regulators only
C. Set expectations for ethical behavior
D. Focus only on legal requirements
Rationale: A code of conduct sets behavioral and ethical expectations for
all employees.
, 8. Risk assessment in compliance is used to:
A. Predict profits
B. Assign blame
C. Identify and prioritize compliance risks
D. Eliminate audits
Rationale: Risk assessments help identify and prioritize areas of
compliance risk.
9. Which training method is generally most effective?
A. One-time orientation only
B. Generic training for all roles
C. Targeted training based on risk and role
D. Voluntary training only
Rationale: Targeted, role-based training is more effective in addressing
specific risks.
10.Policies and procedures should be:
A. Confidential
B. Complex and technical
C. Clear, accessible, and practical
D. Written only by lawyers
Rationale: Effective policies are understandable and accessible to
employees.
11.Monitoring differs from auditing because monitoring is:
A. External
B. Less important
C. Ongoing and routine
D. Performed only by regulators
Rationale: Monitoring is continuous, while auditing is periodic and more
formal.
12.Internal reporting mechanisms should allow:
A. Anonymous reporting
B. Retaliation
