ACFE Asset Misappropriation Schemes 2

Question 1

An employee submits expense reports for the same business meal twice using slightly different dates. This is best classified as which type of scheme?

Accepted Answer

Duplicate reimbursement scheme

Answer

Duplicate reimbursement schemes involve submitting the same expense multiple times, sometimes with altered details to avoid detection.

Question 2

Which internal control is MOST effective at detecting skimming at a retail point-of-sale?

Accepted Answer

Surprise cash counts and register reconciliations

Answer

Surprise cash counts compared against register tapes or POS records expose discrepancies created by skimming before cash is recorded.

Question 3

A purchasing manager creates a fictitious vendor, approves invoices to that vendor, and diverts payments to a personal bank account. Which element distinguishes this from a simple billing scheme?

Accepted Answer

The fictitious nature of the vendor

Answer

A shell company or fictitious vendor scheme is specifically characterized by the vendor having no real existence, making it a subset of billing fraud.

Question 4

Lapping is primarily associated with which asset misappropriation category?

Accepted Answer

Cash skimming of receivables

Answer

Lapping conceals stolen receivable payments by applying later customers' payments to earlier accounts, a classic cash skimming concealment technique.

Question 5

An employee in accounts payable alters a legitimate vendor's bank account number in the system to redirect payments to her own account. This is an example of:

Accepted Answer

ACH/EFT fraud

Answer

Redirecting ACH or EFT payments by changing vendor banking details in the system is a form of electronic payment fraud, not check tampering.

(ACFE) Association of Certified Fraud Examiners Practice Test

(ACFE) Association of Certified Fraud Examiners Practice Test

ACFE Asset Misappropriation Schemes 2