CIG CIG Fraud Detection & Prevention

Question 1

Which of the following best describes 'occupational fraud' as defined by the Association of Certified Fraud Examiners (ACFE)?

Accepted Answer

The use of one's occupation for personal enrichment through deliberate misuse of organizational resources

Answer

Fraud committed by outsiders against an organization

Answer

Fraud perpetrated solely by senior executives

Answer

Identity theft carried out in a workplace setting

Question 2

The fraud triangle identifies three elements that contribute to fraudulent behavior. Which of the following is NOT one of those elements?

Accepted Answer

Retaliation

Answer

Pressure

Answer

Opportunity

Answer

Rationalization

Question 3

Which internal control technique is most effective at detecting duplicate payment fraud?

Accepted Answer

Duplicate payment detection software

Answer

Segregation of duties

Answer

Three-way match

Answer

Rotation of duties

Question 4

In government settings, 'ghost employees' are best detected by which of the following procedures?

Accepted Answer

Cross-referencing payroll records with HR active employee files

Answer

Reviewing travel expense reports

Answer

Conducting random drug testing

Answer

Auditing vendor payment histories

Question 5

What does the term 'skimming' refer to in the context of fraud?

Accepted Answer

Stealing cash before it is recorded in the accounting system

Answer

Falsifying inventory records after the fact

Answer

Inflating expense reimbursements

Answer

Submitting fraudulent vendor invoices

Question 6

Which red flag is most commonly associated with a billing scheme involving a fictitious vendor?

Accepted Answer

Vendor address matches an employee's home address

Answer

Vendor invoices are submitted quarterly

Answer

Vendor provides discounts for early payment

Answer

Vendor has been on the approved list for over five years