ACFE CFE-Financial-Transactions-and-Fraud-Schemes Exam - Topic 5 Question 99 Discussion

Actual exam question for ACFE's CFE-Financial-Transactions-and-Fraud-Schemes exam

Question #: 99
Topic #: 5

[All CFE-Financial-Transactions-and-Fraud-Schemes Questions]

A special scheme in which employees know their employer is seeking to purchase a certain asset and take advantage of the situation by purchasing the asset themselves is:

AConflict of interest in sale

BTurnaround sale or flip

CUnauthorized sale

DWritten sale of unique assets

Show Suggested Answer

Suggested Answer: B

by Carlene at Sep 14, 2024, 06:09 PM

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Erick

8 months ago

I thought a turnaround sale was something different?

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Carri

9 months ago

Wait, is this even legal?

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Shaniqua

9 months ago

That's definitely a conflict of interest!

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Shayne

9 months ago

I've seen this happen before, it's shady for sure.

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Eloisa

9 months ago

I agree, option A makes the most sense here.

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Aron

9 months ago

I vaguely recall something about unique assets and written sales, but I don't think that's what this question is asking.

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Teri

10 months ago

I'm confused about the options. I feel like "unauthorized sale" could fit, but it doesn't sound quite right for this scenario.

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Beckie

10 months ago

I remember practicing a question about employees buying assets before the employer, and I think it was called a turnaround sale or something like that.

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Cecilia

10 months ago

I think this might be related to conflict of interest, but I'm not entirely sure if that's the right term for it.

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I think the best approach here is to focus on the core issue - employees using non-public information for personal gain. That seems to fit the description of a conflict of interest, so I'll go with option A.

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Veta

11 months ago

Wait, I'm confused. Is this about the employees buying the asset themselves or the employer selling it? I want to make sure I'm not missing some nuance here. Maybe I should review my notes on these types of corporate ethics cases.

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Jacob

11 months ago

Okay, I've got this. The key is that the employees are taking advantage of inside information about their employer's plans to purchase an asset. That sounds like a classic conflict of interest situation to me. I'll select option A.

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Solange

11 months ago

Hmm, I'm a bit unsure about this one. I need to make sure I understand the difference between the options like "conflict of interest" and "unauthorized sale." Let me re-read the question closely.

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Stephane

11 months ago

This seems like a straightforward question about conflicts of interest. I'll carefully read through the options and think about the key details in the question stem.

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Mireya

11 months ago

This one seems pretty straightforward. I think the answer is A - a request for normal operation to be restored.

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Mike

2 years ago

Conflict of interest? More like a conflict of 'I want that sweet, sweet profit!' Gotta love the corporate world sometimes.

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Shakira

2 years ago

C) Unauthorized sale

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Stacey

2 years ago

B) Turnaround sale or flip

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Meaghan

2 years ago

A) Conflict of interest in sale

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Jaclyn

2 years ago

Written sale of unique assets? That's a good one, but I doubt that's the right answer here. These employees are just trying to line their own pockets.

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