CCEP Standards and Procedures 4

Question 1

What distinguishes a 'policy' from a 'procedure' in a compliance program's document framework?

Accepted Answer

A policy states what must be done and why; a procedure specifies how it is done step by step

Answer

Policies establish principles, requirements, and objectives, while procedures provide the specific step-by-step instructions for meeting those requirements.

Question 2

Under the U.S. Federal Sentencing Guidelines, what effect does an effective compliance and ethics program have on an organization convicted of a federal offense?

Accepted Answer

It can result in a reduced culpability score, potentially lowering fines and penalties

Answer

The Federal Sentencing Guidelines provide a culpability score reduction for organizations with effective compliance programs, which can significantly reduce monetary fines.

Question 3

An organization wants to ensure its anti-harassment policy covers conduct that occurs at off-site company events. Which drafting technique BEST achieves this?

Accepted Answer

Including explicit scope language stating the policy applies to all work-related activities regardless of location

Answer

Explicit scope language removes ambiguity by clearly defining the territorial and situational reach of the policy.

Question 4

Which of the following BEST describes the role of a 'subject matter expert (SME)' in the policy development process?

Accepted Answer

To provide technical expertise ensuring the policy is accurate and operationally feasible

Answer

SMEs contribute domain knowledge to ensure policy requirements are technically accurate and can realistically be implemented by the affected business functions.

Question 5

A company's gift and entertainment policy sets a $50 per-person limit. An employee spends $47 on a business dinner but fails to submit the required pre-approval form. What type of violation has occurred?

Accepted Answer

A procedural violation, because the pre-approval requirement was not followed

Answer

Failing to follow a mandatory procedural step (pre-approval) constitutes a procedural violation even when the underlying activity is within the permitted dollar limit.

(CCEP) Certified Compliance and Ethics Professional Practice Test

(CCEP) Certified Compliance and Ethics Professional Practice Test

CCEP Standards and Procedures 4