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NEW QUESTION 54
Which of the following is TRUE regarding proactive fraud auditing procedures?

• A. Surprise audit procedures are an effective fraud detection mechanism, but they do not help prevent fraud
• B. Analytical review of the financial statements is best used to uncover small frauds that might be missed by other detection methods.
• C. Implementing proactive fraud audit procedures demonstrates the organization's intention to aggressively look for possible fraudulent conduct.
• D. Fraud assessment Questioning techniques are most appropriately used when attempting to determine who might be responsible for a particular fraud scheme.

Answer: A

NEW QUESTION 55
Which of the following is FALSE regarding fraud examiners responsibilities under the ACFE Code of Professional Ethics?

• A. Confidential information provided to fraud examiners by their clients is considered privileged and therefore legally exempt from disclosure in all circumstances
• B. Fraud examiners must obtain and document evidence in a manner that ensures that the chain of custody is preserved
• C. If fraud examiners become aware of a situation that might appear to others as though they have a conflict of interest they should immediately disclose the situation to company management
• D. In determining what information to include in a fraud examination report, fraud examiners should try to decide what users will consider important and material

Answer: D

NEW QUESTION 56
Which of the following is FALSE regarding proactive fraud auditing procedures?

• A. Analytical review of the financial statements is best used to uncover small frauds that might be missed by other detection methods
• B. Implementing proactive fraud audit procedures demonstrates management's intention to aggressively seek out possible fraudulent conduct
• C. Fraud assessment questioning techniques are most appropriately used as part of the normal audit process
• D. Fraud audit procedures should be designed to incorporate an element of surprise.

Answer: A

NEW QUESTION 57
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