ACFE CFE-Fraud-Prevention-and-Deterrence - Certified Fraud Examiner - Fraud Prevention and Deterrence Exam

Behaviorist Theories on Reinforcement:

Positive reinforcement is the most effective way to encourage desired behavior by providing rewards for compliance.

Analysis of Options:

B. Public criticism:May create resentment and decrease morale.

C. Loss of paid time off:A punitive measure that may not motivate improvement.

D. Demotion:Effective for extreme cases but harsh and potentially counterproductive for minor errors.

Conclusion:Offering a bonus for perfect reconciliation aligns with behaviorist principles of positive reinforcement.

ï‚· Detective Anti-Fraud Controls:

These controls aim to identify fraud after it has occurred. Independent reconciliations are an example of such controls because they verify transactions and accounts to detect discrepancies.

ï‚· Why B is Correct:

Independent reconciliations are specifically designed to identify errors or fraud in financial records.

ï‚· Why Other Options are Incorrect:

A, C, and D:These are preventive controls designed to reduce the likelihood of fraud occurring rather than detecting it after the fact​​.