CFE-Financial-Transactions-and-Fraud-Schemes Free Practice Test

One of the simplest ways to justify unacceptable conduct and avoid guilt feelings is to invent a good reason for _____.
Solution:
Embezzling

Does this meet the goal?

1. A. Yes
2. B. No

Correct Answer: A

Larceny is the scheme in which an employee simply takes inventory from the company premises without attempting to conceal it in the books and records.

1. A. True
2. B. False

Correct Answer: A

Perceived certainty of detection is directly related to employee theft for respondents in all industry sectors, that is the stronger the perception that theft would be detected, the more the likelihood that the employee would engage in deviant behavior.

1. A. True
2. B. False

Correct Answer: B

Most of the shell company schemes involve the purchase of goods rather than services.

1. A. True
2. B. False

Correct Answer: B

The _______ cost method of pricing would carry an asset??s value on the financial statements as what it would currently cost, considering inflation.
Solution:
Price-level adjusted historical cost

Does this meet the goal?

1. A. Yes
2. B. No

Correct Answer: A