EMT Practice Test

1. Question Content...

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Question1: The Committee of Sponsoring Organizations of the Treadway Commission (COSO) defines_____________as
"a process, effected by an entity s board of directors management.
and other personnel designed to provide reasonable assurance regarding the achievement of objectives relating to operations, reporting, and compliance."

Question2: During a fraud risk assessment, (he assessment (earn is seeking information on the ethical tone set by upper and middle managers The team members determine that, for this task, they would like to get candid one-on-one feedback from employees away from their peers. Which of the following techniques would be most helpful for them to use in gathering this information?

Question3: According to Diane Vaughan. which of the following factors increases an organization s inherent inclination toward committing crime?

Question4: Which of the following is FALSE regarding proactive fraud auditing procedures?

Question5: To be in compliance with the ACFE Code of Professional Ethics, fraud examiners must have:

Question6: Which of the following is NOT an effective way to help prevent fraud through the organization's performance measurement and management programs?

Question7: The findings of the 2018 Report to the Nations include all of the following EXCEPT:

Question8: According to G20/OECD Principles of Corporate Governance (the Principles):

Question9: Blue, a Certified Fraud Examiner (CFE). had an ethical dilemma regarding the contract governing one of his professional engagements. Which of the following sources of guidance would be considered the lowest level of reference to help Blue in determining the most ethical course of action?

Question10: Which of the following is NOT one of the three general approaches used to control corporate crime?

Question11: Which of the following is TRUE regarding the communication of the fraud risk assessment process?

Question12: Which of the following is FALSE regarding the process of defining the objective of the fraud risk management program?

Question13: In identifying the inherent fraud risks that could apply to the organization the fraud risk assessment team should discuss

Question14: Glenda. an internal auditor, and Bridgette. an accounts receivable clerk, have had several heated disagreements over accounting procedures and policies Glenda has just been told that she will be the lead on the company s fraud risk assessment. During the fraud risk assessment. Glenda should:

Question15: Which of the following statements is FALSE?

Question16: Which of the following would most likely be a violation of the ACFE Code of Professional Ethics?

Question17: Smith, a retail sales manager, wants to decrease the level of cash register over-and-short discrepancies among his sales team. According to behaviorist theories, which of the following options would be the most effective way for Smith to encourage his team members to keep their cash drawers in balance?

Question18: According to the differential reinforcement theory, behavior is weakened when positive rewards are gained or punishment is avoided

Question19: In a company with all of the following parties, who should have primary responsibility for the oversight of the organization s compliance program?

Question20: Gray, an independent Certified Fraud Examiner (CFE). was hired by Green president of the ABC Corporation, to investigate allegations that one oi ABC s employees is taking kickbacks. During the investigation. Gray learns that Green is involved in an unrelated fraud. Under the ACFE Code of Professional Ethics. Gray should:

Question21: Which of the following is NOT explicitly prohibited by the ACFE Code of Professional Ethics?

Question22: In response to an employee s failure to meet performance expectations. a manager demotes the employee to a junior-level position This is an example of what type of behavioral response?

Question23: Which of the following is FALSE regarding the fraud risk assessment team?

Question24: Maria conducted a fraud examination that led to a valid confession of guilt from Rita. In Maria's verbal report to her superiors, she stated that, in her opinion. "Rita is guilty of embezzlement." Maria has just violated the ACFE Code of Professional Ethics.

Question25: Effective risk management involves balancing which of the following?

Question26: Independent auditors play a critical role in enhancing the reliability of financial information by financial position and performance in compliance with accepted accounting standards.

Question27: Which of the following is NOT a way that an organization's fraud risk assessment should be incorporated into the audit process''

Question28: According to Silk and Vogel's research, business leaders rationalize legal violations by asserting that the damage done by the violations is diffused among a large number of parties.

Question29: Which of the following is FALSE regarding G20/OECD Principles of Corporate Governance (the Principles)?

Question30: Which of the following statements is TRUE regarding how fraud examiners should exercise professional skepticism during a fraud examination engagement?

Question31: According to The Institute of Internal Auditors (IIA) International Standards for the Professional Practice of Internal Auditing, which of the following should the internal audit team evaluate in its assessment of the risk management process?

Question32: Which of the following is among the audit committee s primary responsibilities related to fraud risk management?

Question33: A corporation can generally be held criminally responsible for criminal acts committed by its employees even if those in management had no knowledge of or participation in the underlying events.

Question34: According to modern criminological studies, which of the following is the determinant aspect of white-collar crime'?