ACAMS MCQ 1

Question 1

Which red signal should a compliance officer prioritize for further investigation?

Accepted Answer

A customer makes 20 repeating monthly purchases amounting less than $500 USD.

Answer

A customer making 20 repeating monthly purchases amounting to less than $500 USD is a significant red flag for microstructuring. This pattern suggests an attempt to evade detection by keeping individual transaction amounts below reporting thresholds, which is a common money laundering technique. While other options might warrant investigation, this specific pattern is a classic indicator of illicit activity designed to avoid scrutiny.

Question 2

One of the red signs for microstructuring is:

Accepted Answer

multiple visits to make cash deposits of small amounts.

Answer

Microstructuring is a money laundering technique characterized by making multiple visits to deposit or withdraw small amounts of cash. The goal is to keep each transaction below the reporting threshold, thereby avoiding the automatic generation of suspicious activity reports. This pattern of frequent, small cash transactions is a key red flag for this type of illicit activity.

Question 3

An accounting company created a bank account that would serve as the business's operating account. After a few months, a thorough evaluation of the account was initiated owing to unexpected activities. Which most likely prompted the review?

Accepted Answer

The account makes monthly payments to many organizations that serve the same neighborhoods as the accounting company.

Answer

An accounting company's operating account making monthly payments to many organizations serving the same neighborhoods is highly unusual and a significant red flag. An operating account should primarily handle the company's own expenses and income, not disburse funds to numerous third-party organizations in a potentially unrelated manner. This pattern could indicate the account is being used for layering or integration of illicit funds, acting as a pass-through for money laundering.

Question 4

When creating an effective AML program, the Board of Directors has the obligation to:

Accepted Answer

ensure the appointment of a qualified chief AML officer.

Answer

The Board of Directors has a crucial oversight role in an effective AML program. Their obligation includes ensuring the appointment of a qualified chief AML officer who possesses the necessary expertise and authority to manage the program effectively. While the Board doesn't manage day-to-day operations, they are responsible for setting the tone from the top and ensuring adequate resources and leadership for compliance.

Question 5

An anti-money laundering professional recently created and implemented an anti-money laundering program. What is the best resource for evaluating the program's effectiveness?

Accepted Answer

A qualified independent party/auditor

Answer

The best resource for evaluating the effectiveness of an AML program is a qualified independent party/auditor. An independent auditor provides an objective and unbiased assessment of the program's design and operational effectiveness, identifying weaknesses and areas for improvement without internal conflicts of interest. This external review ensures the program meets regulatory requirements and effectively mitigates risks.

(ACAMS) Association of Certified Anti-Money Laundering Specialists Practice Test

(ACAMS) Association of Certified Anti-Money Laundering Specialists Practice Test

ACAMS MCQ 1