ACFE CFE - Financial Transactions and Fraud Schemes - Certified Fraud Examiner - Financial Transactions and Fraud Schemes Exam
Page: 3 / 51
Total 254 questions
Question #11 (Topic: Exam A)
To help prevent fraudulent billing schemes, it is recommended that companies combine the purchasing and payment functions.
A. True
B. False
Answer: B
Question #12 (Topic: Exam A)
Green was a salesperson whose job required frequent travel. When Green went on a trip with her family that was not business related, she saved the receipts from her flight, hotel, and restaurant expenses. She turned in these receipts to her manager along with an expense report that described the expenses as business related. Green’s company reimbursed her for the expenses. This is an example of what type of expense reimbursement scheme?
A. A mischaracterized expense scheme
B. An overstated expense scheme
C. A multiple reimbursement scheme
D. A fictitious expense scheme
Answer: A
Question #13 (Topic: Exam A)
Which of the following is the MOST LIKELY result of a financial statement fraud scheme?
A. Understated assets
B. Overstated liabilities
C. Overstated revenues
D. Understated equity
Answer: B
Question #14 (Topic: Exam A)
Which of the following scenarios is an example of an electronic extortion scheme?
A. A vendor rewards a purchasing employee with tickets for a professional sports team’s game after the employee directs business to the vendor.
B. An employee receives a payment for directing excess business to a vendor.
C. A purchasing employee and vendor agree to bill the company for services never rendered.
D. A politician threatens to shut down a business if it does not pay a bribe.
Answer: D
Question #15 (Topic: Exam A)
Which of the following scenarios is an example of upcoding?
A. Dr. Johnson, a psychiatrist, regularly sees patients for sessions lasting less then forty minutes, but she submits the claims with a code that indicates the sessions were sixty minutes long.
B. Victor receives payment in exchange for undergoing an unnecessary medical procedure that is then billed to his health care program.
C. Margot inflates a medical bill she is seeking reimbursement for by adding an additional digit to the amount charged.
D. Dr. Hernandez uses four procedure codes when submitting a claim for a coronary bypass he performed that is supposed to be billed using a single procedure code.
Answer: A
