Questions for the CFE were updated on : Nov 21 ,2025
Page 1 out of 13. Viewing questions 1-15 out of 186
Question 1
A shell company scheme in which actual goods or services are sold to the victim company is known as:
A. Maintenance scheme
B. Allocation scheme
C. Distribution scheme
D. Pass-through scheme
Answer:
D
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Question 2
Most of the shell company schemes involve the purchase of goods rather than services.
A. True
B. False
Answer:
B
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Question 3
What is sometimes used to overcome well-designed internal controls of a victim company?
A. Shell company
B. Fraudulent invoices
C. Collusion
D. Rubber stamp supervisors
Answer:
C
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Question 4
One reason employees might be hesitant to use PO boxes in shell company schemes is that some businesses are specially vary of sending checks to vendors that have street addresses only.
A. True
B. False
Answer:
B
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Question 5
A fabricated name and the post office box that an employee uses to collect disbursements from false billings is called:
A. Accomplice residence
B. Shell company
C. Perpetrator check
D. Cash generator
Answer:
B
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Question 6
A voucher is:
A. a file that includes the purchase order that was send to the vendor, the vendor invoice listing the cost and quantity of items purchased, and the internal receiving reports that verify the purchased items have been delivered.
B. a figure that includes the sale order that was send to the dealer, the vendor invoice listing the cost and quantity of items sold, and the internal receiving reports that verify the purchased items have been delivered.
C. a report that includes the purchase order that was send to the vendor, the vendor invoice listing the quality and quantity of items purchased, and the external receiving reports that verify the items have been sold.
D. a mammogram that includes the purchase order that was send to the purchaser, the purchaser invoice listing the benefits and quantity of items purchased, and the internal receiving reports that verify the purchased items have been sold.
Answer:
A
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Question 7
In ___________ scheme, an employee creates false vouchers or submits false invoices to the employer.
A. Sale requisition
B. Purchase requisition
C. Voucher handling
D. Cash generating
Answer:
D
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Question 8
Which of the following is NOT the type of billing scheme?
A. Invoicing via shell companies
B. Invoicing via non-accomplice companies
C. Invoicing via accomplice companies
D. Personal purchases with company funds
Answer:
C
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Question 9
The most common method for billing scheme is:
A. Register
B. Tips
C. Accident
D. None of the above
Answer:
B
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Question 10
The scheme which reduces victim companies to issue fraudulent payments for goods or services that they have not received is called:
A. Bogus claims
B. Billing scheme
C. Reliance billing
D. Misappropriate claims
Answer:
A
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Question 11
Maintain the presence of a manager or supervisor near the area of the cash register as a deterrent to theft is a prevention for:
A. Fraudulent statement scheme
B. Asset misappropriation scheme
C. Larceny scheme
D. Register disbursement scheme
Answer:
D
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Question 12
Multiple cashiers operate from a single cash drawer without separate access codes is a red flag for:
A. Fraudulent scheme
B. Disbursement scheme
C. Register scheme
D. Force inventory scheme
Answer:
C
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Question 13
______________ can be detected by closely examining the documentation submitted with the cash receipts.
A. Voided purchases
B. Fictitious refunds
C. Approved transaction
D. None of the above
Answer:
B
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Question 14
One final means of concealing a register scheme, as with many kinds of fraud, is to destroy all records of the transaction.
A. True
B. False
Answer:
A
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Question 15
When employees avoid detection in a refund scheme to keep the sizes of the disbursement law, is referred to: