Question 1

Which of the following is NOT a primary reason for increased size and number of frauds?

Accepted Answer

A) The advent of computers 
B) Complex accounting systems 
C) Increased centralization of businesses 
D) The Internet 
A) The advent of computers 
B) Complex accounting systems 
C) Increased centralization of businesses 
D) The Internet C

Question 2

One way that criminal law differs from civil law is that it:

Accepted Answer

A) provides remedies for violations of private rights. 
B) must yield a unanimous verdict. 
C) can have a jury of fewer than 12 persons. 
D) allows for various claims in one action. 
A) provides remedies for violations of private rights. 
B) must yield a unanimous verdict. 
C) can have a jury of fewer than 12 persons. 
D) allows for various claims in one action. B

Question 3

The elements of fraud include all of the following EXCEPT:

Accepted Answer

A) a material point is misrepresented. 
B) the misrepresentation is intentional. 
C) the misrepresentation is known to the victim. 
D) the victim must sustain damages. 
A) a material point is misrepresented. 
B) the misrepresentation is intentional. 
C) the misrepresentation is known to the victim. 
D) the victim must sustain damages. C

Question 4

The most common fraud committed on behalf of an organization is:

Accepted Answer

A) Vendor fraud 
B) Employee embezzlement 
C) Fraudulent financial reporting 
D) Customer fraud 
A) Vendor fraud 
B) Employee embezzlement 
C) Fraudulent financial reporting 
D) Customer fraud

Question 5

Which of the following is NOT one of the major types of fraud classification schemes?

Accepted Answer

A) Employee embezzlement 
B) Government fraud 
C) Investment scams 
D) Customer fraud 
A) Employee embezzlement 
B) Government fraud 
C) Investment scams 
D) Customer fraud

Question 6

Which of the following is NOT an example of a fraud-fighting career?

Accepted Answer

A) Working for the criminal investigation division of the IRS. 
B) Serving as an expert witness. 
C) Maintaining the security of public records. 
D) Defending an organization being sued in a civil case. 
A) Working for the criminal investigation division of the IRS. 
B) Serving as an expert witness. 
C) Maintaining the security of public records. 
D) Defending an organization being sued in a civil case.

Question 7

Telemarketing fraud usually falls into this category.

Accepted Answer

A) Investment scams 
B) Management fraud 
C) Vendor fraud 
D) Embezzlement 
A) Investment scams 
B) Management fraud 
C) Vendor fraud 
D) Embezzlement

Question 8

Scammers often use their victim's ethnic identity to gain their trust and then steal their life savings.This is an example of:

Accepted Answer

A) vendor fraud. 
B) affinity fraud. 
C) embezzlement. 
D) occupational fraud. 
A) vendor fraud. 
B) affinity fraud. 
C) embezzlement. 
D) occupational fraud.

Question 9

What is the most cost-effective way to minimize the cost of fraud?

Accepted Answer

A) Prevention 
B) Detection 
C) Investigation 
D) Prosecution 
A) Prevention 
B) Detection 
C) Investigation 
D) Prosecution

Question 10

Who are the primary victims of financial statement fraud?

Accepted Answer

A) Middle management 
B) Organizations that buy goods or services 
C) Analysts 
D) Stockholders 
A) Middle management 
B) Organizations that buy goods or services 
C) Analysts 
D) Stockholders

Question 11

In fraud prosecution cases,______ matter consists of the underlying data and all corroborating information available.

Accepted Answer

A) evidential 
B) remedial 
C) supplement 
D) elementary 
A) evidential 
B) remedial 
C) supplement 
D) elementary

Question 12

Which of the following statements about criminal and civil cases is correct?

Accepted Answer

A) The purpose of a criminal case is "to right a wrong",the purpose of civil case is to obtain a remedy. 
B) Jury must have 12 people in civil cases but in criminal cases may consist of fewer than 12 persons. 
C) Both criminal cases and civil cases require a fraud perpetrator to go to jail. 
D) Only one claim at a time in civil cases however in criminal cases,various claims may be joined in one action. 
A) The purpose of a criminal case is "to right a wrong",the purpose of civil case is to obtain a remedy. 
B) Jury must have 12 people in civil cases but in criminal cases may consist of fewer than 12 persons. 
C) Both criminal cases and civil cases require a fraud perpetrator to go to jail. 
D) Only one claim at a time in civil cases however in criminal cases,various claims may be joined in one action.

Question 13

What is the single most critical element for a fraud to be successful?

Accepted Answer

A) Criminal intent 
B) Confidence 
C) Greed 
D) Compulsion 
A) Criminal intent 
B) Confidence 
C) Greed 
D) Compulsion

Question 14

What is required to prove fraud,as opposed to negligence?

Accepted Answer

A) Gross error 
B) Intent 
C) Preponderance of the evidence 
D) Confession from the perpetrator 
A) Gross error 
B) Intent 
C) Preponderance of the evidence 
D) Confession from the perpetrator

Question 15

Government agencies such as the FBI,FDIC,IRS,or various health agencies publish fraud statistics from time to time.Which of the following observations concerning such statistics is true?

Accepted Answer

A) Generally,their statistics are complete. 
B) Such information is rarely used. 
C) They provide only those statistics related to their jurisdiction. 
D) They usually provide a total picture in the areas for which they have responsibility. 
A) Generally,their statistics are complete. 
B) Such information is rarely used. 
C) They provide only those statistics related to their jurisdiction. 
D) They usually provide a total picture in the areas for which they have responsibility.

Question 16

Which of the following is NOT an element of a Ponzi scheme?

Accepted Answer

A) Gaining other's confidence. 
B) Promising abnormally high returns. 
C) Collected money is invested in government bonds. 
D) Investment principle is partially used to make payments to previous investors. 
A) Gaining other's confidence. 
B) Promising abnormally high returns. 
C) Collected money is invested in government bonds. 
D) Investment principle is partially used to make payments to previous investors.

Question 17

Customer fraud includes all of the following EXCEPT:

Accepted Answer

A) Get something for nothing. 
B) Do not pay for goods purchased. 
C) Fraud perpetrated through collusion between buyers and vendors. 
D) Deceive organization into giving them something they should not. 
A) Get something for nothing. 
B) Do not pay for goods purchased. 
C) Fraud perpetrated through collusion between buyers and vendors. 
D) Deceive organization into giving them something they should not.

Question 18

Which one of the following is NOT a characteristic of a criminal proceeding?

Accepted Answer

A) Deals with offenses against society. 
B) Consequences include restitution and damage payments. 
C) Jury of 12 individuals. 
D) Only one claim may be heard at a time. 
A) Deals with offenses against society. 
B) Consequences include restitution and damage payments. 
C) Jury of 12 individuals. 
D) Only one claim may be heard at a time.

Question 19

Which among the following frauds is most likely to be a civil charge?

Accepted Answer

A) Racketeering 
B) Mail fraud 
C) Defamation 
D) Perjury 
A) Racketeering 
B) Mail fraud 
C) Defamation 
D) Perjury

Question 20

Which of the following is the most common type of occupational fraud?

Accepted Answer

A) Financial statement fraud 
B) Mail fraud 
C) Investment fraud 
D) Employee embezzlement 
A) Financial statement fraud 
B) Mail fraud 
C) Investment fraud 
D) Employee embezzlement

Which of the following is NOT a primary reason for increased size and number of frauds?

One way that criminal law differs from civil law is that it:

The elements of fraud include all of the following EXCEPT:

The most common fraud committed on behalf of an organization is:

Which of the following is NOT one of the major types of fraud classification schemes?

Which of the following is NOT an example of a fraud-fighting career?

Telemarketing fraud usually falls into this category.

Scammers often use their victim's ethnic identity to gain their trust and then steal their life savings.This is an example of:

What is the most cost-effective way to minimize the cost of fraud?

Who are the primary victims of financial statement fraud?

In fraud prosecution cases,______ matter consists of the underlying data and all corroborating information available.

Which of the following statements about criminal and civil cases is correct?

What is the single most critical element for a fraud to be successful?

What is required to prove fraud,as opposed to negligence?

Government agencies such as the FBI,FDIC,IRS,or various health agencies publish fraud statistics from time to time.Which of the following observations concerning such statistics is true?

Which of the following is NOT an element of a Ponzi scheme?

Customer fraud includes all of the following EXCEPT:

Which one of the following is NOT a characteristic of a criminal proceeding?

Which among the following frauds is most likely to be a civil charge?

Which of the following is the most common type of occupational fraud?

Why People Commit Fraud

Fighting Fraud: an Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Liability,asset,and Inadequate Disclosure Frauds

Fraud Against Organizations

Consumer Fraud

Bankruptcy, divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters

Exam 1: The Nature of Fraud

Which of the following is NOT a primary reason for increased size and number of frauds?

One way that criminal law differs from civil law is that it:

The elements of fraud include all of the following EXCEPT:

The most common fraud committed on behalf of an organization is:

Which of the following is NOT one of the major types of fraud classification schemes?

Which of the following is NOT an example of a fraud-fighting career?

Telemarketing fraud usually falls into this category.

Scammers often use their victim's ethnic identity to gain their trust and then steal their life savings.This is an example of:

What is the most cost-effective way to minimize the cost of fraud?

Who are the primary victims of financial statement fraud?

In fraud prosecution cases,______ matter consists of the underlying data and all corroborating information available.

Which of the following statements about criminal and civil cases is correct?

What is the single most critical element for a fraud to be successful?

What is required to prove fraud,as opposed to negligence?

Government agencies such as the FBI,FDIC,IRS,or various health agencies publish fraud statistics from time to time.Which of the following observations concerning such statistics is true?

Which of the following is NOT an element of a Ponzi scheme?

Customer fraud includes all of the following EXCEPT:

Which one of the following is NOT a characteristic of a criminal proceeding?

Which among the following frauds is most likely to be a civil charge?

Which of the following is the most common type of occupational fraud?

Why People Commit Fraud

Fighting Fraud: an Overview

Preventing Fraud

Recognizing the Symptoms of Fraud

Data-Driven Fraud Detection

Investigating Theft Acts

Investigating Concealment

Conversion Investigation Methods

Inquiry Methods and Fraud Reports

Financial Statement Fraud

Revenue- and Inventory-Related Financial Statement Frauds

Liability,asset,and Inadequate Disclosure Frauds

Fraud Against Organizations

Consumer Fraud

Bankruptcy, divorce, and Tax Fraud

Fraud in E-Commerce

Legal Follow-Up

Filters