ACAMS Practice Test: Anti-Money Laundering
Questions and Answers
C - ANSWERThe USA PATRIOT Act was passed in:
A) 1970
B) 1985
C) 2001
D) 2007
D - ANSWERThe three stages of money laundering are:
A) Layering, Placement, Refining
B) Placement, Refining, Integration
C) Refining. Integration, Layering
D) Integration, Layering, Placement
,D - ANSWERWhich of the following would be satisfactory elements of an Anti-
Money Laundering Program?
I - A CAMS certified employee in the Investigations Unit writes up a few
policies and procedures and posts them on the department bulletin board.
II - Shortly after attaining their CAMS certification, the individual provides
AML training to the Investigations Unit.
III - The CAMS certified individual routinely reviews the work of the
Investigations Unit.
IV - The CAMS certified individual assumes the responsibility of a compliance
watchdog.
A) All of the above would be satisfactory
B) II and IV would be satisfactory
C) I and III would be satisfactory
D) None of the above would be satisfactory
,The correct ANSWER would be "D - None of the above would be satisfactory."
I - The AML program must be approved by the Board of Directors.
II - An AML training program is required of all personnel (and contractors).
III - The review of the bank's Financial Intelligence Department, as part of the
audit of the AML program, must be performed by an independent (and
knowledgeable) party.
, IV - The Compliance Officer must be appointed by the Board of Directors (or
upper management with the Board's approval).
D - ANSWERIn determining what risks a customer poses, which consideration
should NOT be a major factor?
A) Where the customer resides or where the business is headquartered.
B) What is the size of your financial institution.
C) What occupation or type of business does the customer derive their
income from.
D) What are the customer's ethnic heritage, sexual orientation and political
beliefs.
Questions and Answers
C - ANSWERThe USA PATRIOT Act was passed in:
A) 1970
B) 1985
C) 2001
D) 2007
D - ANSWERThe three stages of money laundering are:
A) Layering, Placement, Refining
B) Placement, Refining, Integration
C) Refining. Integration, Layering
D) Integration, Layering, Placement
,D - ANSWERWhich of the following would be satisfactory elements of an Anti-
Money Laundering Program?
I - A CAMS certified employee in the Investigations Unit writes up a few
policies and procedures and posts them on the department bulletin board.
II - Shortly after attaining their CAMS certification, the individual provides
AML training to the Investigations Unit.
III - The CAMS certified individual routinely reviews the work of the
Investigations Unit.
IV - The CAMS certified individual assumes the responsibility of a compliance
watchdog.
A) All of the above would be satisfactory
B) II and IV would be satisfactory
C) I and III would be satisfactory
D) None of the above would be satisfactory
,The correct ANSWER would be "D - None of the above would be satisfactory."
I - The AML program must be approved by the Board of Directors.
II - An AML training program is required of all personnel (and contractors).
III - The review of the bank's Financial Intelligence Department, as part of the
audit of the AML program, must be performed by an independent (and
knowledgeable) party.
, IV - The Compliance Officer must be appointed by the Board of Directors (or
upper management with the Board's approval).
D - ANSWERIn determining what risks a customer poses, which consideration
should NOT be a major factor?
A) Where the customer resides or where the business is headquartered.
B) What is the size of your financial institution.
C) What occupation or type of business does the customer derive their
income from.
D) What are the customer's ethnic heritage, sexual orientation and political
beliefs.
