Certified Fraud Examiner CFE-Fraud-Prevention-and-Deterrence Dumps PDF

 Key Elements of Routine Activities Theory:

This criminological theory asserts that crime is likely when three conditions converge:

Availability of suitable targets.

Absence of capable guardians (e.g., security or oversight).

Presence of motivated offenders.

 Why C is Correct:

Routine activities theory focuses on the environmental and situational factors that facilitate crime, making it distinct from other criminological theories.

 Why Other Options are Incorrect:

A (Rational choice theory): Focuses on individual decision-making.

B (Differential association theory): Emphasizes learning criminal behavior through interaction.

D (Social control theory): Focuses on societal bonds preventing crime​​.

Steve Albrecht's Research on Fraud Motivation:

Personal factors like "living beyond their means" are commonly cited as a driver of fraudulent behavior.

Organizational factors, such as excessive trust in key employees, create opportunities for fraud by reducing oversight and enabling unethical behavior.

Analysis of Options:

A. High personal debt: This can be a motivator, but it is less common than "living beyond their means."

B. Revenge: Rarely a primary driver of fraud.

D. Desire for recognition: This may motivate some individuals, but it is not as prevalent as financial pressure and opportunity.

Conclusion:Option C reflects the most common personal and organizational factors motivating fraudsters.

References:ACFE's Fraud Triangle and findings from Albrecht's research on fraud motivation​​.

ACFE Code of Professional Ethics on Reporting Findings:

The Code allows fraud examiners to report on deficiencies in controls if these are relevant to their engagement. Highlighting such deficiencies helps improve the organization’s anti-fraud measures.

Why B is Correct:

Black is permitted to express his opinion about deficient controls, even if no fraud is found, as long as his conclusions are based on evidence and within the scope of his professional expertise.

References:

ACFE ethical guidelines encourage examiners to report all relevant findings to promote transparency and improved governance​​.

References for All Questions:

ISA 240 and professional auditing standards on fraud-related responsibilities​​.

ACFE Code of Professional Ethics and Fraud Examination Guide​​.

Principles of professional skepticism in fraud detection and examination​​.

Analysis of Each Scenario:

A. Rodrigo: Reporting unrelated findings without a clear mandate violates principles of focus and relevance under the ACFE Code.

B. Vivian: Overlooking evidence demonstrates a lack of due diligence and professionalism.

C. Tom: Complying with a court order is permissible, but failure to safeguard client confidentiality before receiving the order constitutes a breach.

Ethical Standards:

Each scenario demonstrates a failure to meet the ethical and professional responsibilities outlined in the ACFE Code.

Conclusion:All scenarios represent violations of the ACFE Code of Professional Ethics.

References:ACFE Code of Professional Ethics, particularly diligence and confidentiality provisions​​.