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ACFE CFE-Law - Certified Fraud Examiner (CFE) - Law

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Total 171 questions

The Financial Action Task Force (FATF) Recommendations slate that a financial institution s customer due diligence (COD) procedures should include continued monitoring of a customer's business relationships and transactions.

A.

True

B.

False

A business files for bankruptcy with the goal of obtaining relief from creditors so that it can rearrange its financial affairs and continue as a going concern. Which of the following describes this type of bankruptcy proceeding?

A.

Reorganization bankruptcy

B.

Debt adjustment bankruptcy

C.

Debt dismissal bankruptcy

D.

Liquidation bankruptcy

The MOST COMMON bankruptcy fraud scheme is:

A.

Forged filing

B.

A planned bustcut

C.

A credit card bustout

D.

Concealment of assets

Which of the following is one of the three basic options by which organizations can legitimize cross-border transfers of personal information?

A.

Use a third-party transferring service

B.

Obtain approval from a Certified Information Privacy Professional (C PP)

C.

Establish a contract between the entities exchanging the information

D.

Obtain a warrant granting permission to transfer the data

Which of the following is NOT one of the elements that the government must prove to establish a violation of a law criminalizing false statements to government agencies?

A.

The government relied on the false statement

B.

The defendant knew the statement was false

C.

The defendant made a false statement

D.

The false statement was material

During an internal investigation Todd a Certified Fraud Examiner (CFE) interviewed Janessa a fraud suspect Although Janessa wanted to leave in the middle of the interview, Todd blocked the exit and prevented her from leaving Janessa subsequently confessed to committing fraud If under these facts Janessa files a lawsuit (or false imprisonment against Todd, Todd will likely

A.

Win the case because he is protected under the qualified business privilege

B.

Lose the case if a trier of fact concludes that he restrained Janessa without consent or legal justification

C.

Lose the case because janessa did not leave the interview

D.

Win the case if he did not know the conduct was illegal

Freya, a government contractor, has been convicted of colluding with other contractors to manipulate the competitive bidding process. After her conviction, Freya's name is added to a list of individuals who are prohibited from bidding on government contracts for a period of five years. The administrative penalty that Freya received is BEST described as:

A.

License revocation

B.

Disenfranchisement

C.

Debarment

D.

License suspension

Which of the following choices is a method of pretrial civil discovery that is often found in common law jurisdictions?

A.

Injunctions

B.

Production writs

C.

Indictments

D.

Affidavits of documents

Leslie, a business owner, submits tax information regarding her company's finances to her country's taxing authority. The taxing authority allows companies to subtract the cost of production from their gross sales to determine the taxable income. To reduce her tax liability, Leslie inflates the costs of production on her tax forms. Which of the following schemes has Leslie MOST LIKELY committed?

A.

A value-added tax evasion scheme

B.

A falsified tax deduction scheme

C.

A sales tax scheme

D.

A tax credit evasion scheme

Company A used Company B to recover damages for the breach of a contract. In the same proceeding. Company B sought damages for an allegation that Company A fraudulently induced Company B into entering the contract. In this case, what would Company B's claim against Company A be called?

A.

Counterclaim

B.

Collateral attack

C.

Reversal

D.

Cross-claim