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The CFE-Financial-Transactions-and-Fraud-Schemes (Certified Fraud Examiner - Financial Transactions and Fraud Schemes) Exam is a certification offered by the Association of Certified Fraud Examiners (ACFE). Certified Fraud Examiner - Financial Transactions and Fraud Schemes Exam certification program is designed to equip professionals with the knowledge and skills needed to identify and prevent fraud in financial transactions and schemes. The CFE-Financial-Transactions-and-Fraud-Schemes Certification is widely recognized as a benchmark of excellence in the field of fraud examination.

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ACFE Certified Fraud Examiner - Financial Transactions and Fraud Schemes Exam Sample Questions (Q203-Q208):

NEW QUESTION # 203
Which of the following is the MOST ACCURATE statement about the phases of procurements involving open and free competition?

  • A. In the post-award and administration phase, the procuring entity identifies its needs and develops the criteria used to award the contract.
  • B. In the bid evaluation and award phase, the procuring entity fulfills its duties through the performance of its contractual obligations.
  • C. In the solicitation phase, prospective contractors prepare and submit their bids.
  • D. In the presolicitation phase, the procuring entity issues the solicitation document.

Answer: D


NEW QUESTION # 204
Which of the following statements is MOST ACCURATE regarding financial reporting practices and accounting frameworks, such as U.S. generally accepted accounting principles (GAAP) and International Financial Reporting Standards (IFRS)?

  • A. All publicly traded companies are required to adopt either U.S. GAAP or IFRS as their accounting framework.
  • B. U.S. GAAP is a principle-based accounting framework, and IFRS is a rules-based accounting framework.
  • C. Organizations that conduct business internationally must adopt IFRS as their accounting framework for financial reporting.
  • D. The financial reporting practices that a publicly traded company must follow are determined by the company's jurisdiction.

Answer: D


NEW QUESTION # 205
Which of the following is a red flag that might indicate the existence of a need recognition scheme?

  • A. The purchasing entity has unusually high requirements for stock and inventory levels.
  • B. The purchasing entity has few surplus items written off as scrap.
  • C. The purchasing entity has a large list of backup suppliers.
  • D. The purchasing entity's materials are being ordered at the optimal reorder point.

Answer: A

Explanation:
Explanation/Reference: https://www.fraudconference.com/uploadedFiles/Fraud_Conference/Content/Course-Materials/presentations/23rd/ppt/post-05-Collusion-Between-Contractors-and-Employees.pdf


NEW QUESTION # 206
A method for gaining unauthorized access to a computer system whereby the attacker deceives victims into disclosing personal information or convinces them to commit acts that facilitate the attacker's intended scheme is known as:

  • A. Social engineering
  • B. Electronic piggybacking
  • C. IP spoofing
  • D. Packet sniffing

Answer: D


NEW QUESTION # 207
Which of the following is a method that might be used to fraudulently overstate the inventory balance?

  • A. Applying the lower of cost or net realizable value
  • B. Failing to write off obsolete inventory
  • C. Failing to record bad debt expense
  • D. Recording an allowance for sales returns

Answer: B


NEW QUESTION # 208
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