Discuss ACFE CFE-Fraud-Investigations-and-Legal-Issues Exam Topic 2 Question 7

The Financial Action Task Force (FATF) Recommendations concerning cross-border transfers of currency recommend that countries do which of the following?

ARequire individuals to make a disclosure any time currency is physically transported into or out of a country, regardless of the currency amount.

BEliminate the practice of carrying currency above a certain threshold across international borders.

CEstablish reporting thresholds for physically carrying currency or currency equivalents into or out of a country.

DStipulate that financial institutions must inform authorities any time they conduct a transaction involving a cash equivalent originating from another country.

Suggested Answer: C

This question tests your knowledge of Domain 5.

In the context of Money Laundering, specifically relating to FATF, the question asks about cross-border transfers of currency recommend that countries do which of the following, FATF.

The correct answer is C: Establish reporting thresholds for physically carrying currency or currency equivalents into or out of a country..

This question addresses money laundering concepts. The correct answer correctly identifies the stage, method, or regulatory framework related to money laundering or anti-money laundering efforts. Understanding these processes is critical for fraud examiners working to detect and prevent financial crimes.

- CFE Exam Content Outline: Domain 5: Money Laundering

- FATF

- Fraud Examiners Manual, Law Section

Get Premium CFE-Fraud-Investigations-and-Legal-Issues Questions as Interactive Web-Based Practice Test or PDF Real Exam Format Detailed Explanations Instant Access Get Your Practice Test

12 comments · newest first

Lashaunda 1 month ago

D seems crucial. Financial institutions should notify authorities.

Cassie 2 months ago

I prefer C. Reporting thresholds make sense for tracking.

Gerald 2 months ago

I think A is the best choice. Transparency is key.

Leigha 2 months ago

C) is a good idea, but what’s the threshold?

Wilda 2 months ago

D) makes sense, gotta track those cash flows!

Evangelina 2 months ago

Wait, are they really enforcing this for all amounts? Seems excessive.

Sharika 2 months ago

Totally agree, transparency is key!

Jamika 3 months ago

A) is correct, they want full disclosure on currency transport.

Bobbie 3 months ago

I think the FATF is focused on transparency, so maybe option C is correct about reporting thresholds, but I could be mixing it up with another topic we studied.

Sueann 3 months ago

I feel like option D makes sense since financial institutions usually have to report suspicious transactions, but I’m not confident if that applies specifically to cash equivalents from abroad.

Sherell 3 months ago

I remember a practice question that mentioned requiring disclosures for currency transport, but I can't recall if it was for all amounts or just above a certain threshold.

Roxanne 3 months ago

I think the FATF recommends that countries establish reporting thresholds for currency transport, but I'm not entirely sure if it's about physical cash or just electronic transfers.

ACFE CFE-Fraud-Investigations-and-Legal-Issues Exam - Topic 2 Question 7 Discussion