CrFA Regulatory Compliance 3

Question 1

A client deposits $9,500 in cash on three consecutive days to avoid a reporting threshold, using funds from a legitimate business. Which statement is correct?

Accepted Answer

The conduct is illegal structuring even though the funds are legitimate

Answer

31 U.S.C. 5324 prohibits structuring transactions to evade reporting requirements regardless of the funds' source.

Question 2

When must a financial institution file a Currency Transaction Report (CTR)?

Accepted Answer

For cash transactions exceeding $10,000 in a business day, within 15 calendar days

Answer

CTRs are required for cash transactions (including aggregated ones) over $10,000 per business day and are due within 15 days.

Question 3

Which type of SEC registrant is exempt from the SOX Section 404(b) auditor attestation requirement on internal control over financial reporting?

Accepted Answer

Non-accelerated filers

Answer

Dodd-Frank permanently exempted non-accelerated filers from the 404(b) auditor attestation requirement.

Question 4

The FCPA accounting provisions (books and records and internal controls) apply directly to which entities?

Accepted Answer

Issuers with securities registered with or reporting to the SEC

Answer

The FCPA's accounting provisions apply to issuers, while the anti-bribery provisions also reach domestic concerns and certain foreign persons.

Question 5

Which PCAOB standard governs an audit of internal control over financial reporting integrated with a financial statement audit?

Accepted Answer

AS 2201

Answer

AS 2201 establishes requirements for auditing ICFR in an integrated audit.

CrFA - Certified Forensic Accountant Practice Test

CrFA - Certified Forensic Accountant Practice Test

CrFA Regulatory Compliance 3