ACFE CFE-Fraud-Prevention-and-Deterrence Exam - Topic 1 Question 51 Discussion

Actual exam question for ACFE's CFE-Fraud-Prevention-and-Deterrence exam

Question #: 51
Topic #: 1

[All CFE-Fraud-Prevention-and-Deterrence Questions]

In response to a risk identified during a fraud risk assessment, management decides to purchase fidelity insurance to help protect the company against the associated risk of loss This response is known as:

AMitigating the risk

BAssuming the risk

CAvoiding the risk

DTransferring the risk

Show Suggested Answer

Suggested Answer: D

by Leonida at Jul 23, 2022, 07:03 PM

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Leana

4 months ago

Fidelity insurance is a classic example of risk transfer.

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Vincent

4 months ago

Really? I’m surprised they didn’t just avoid it altogether.

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Iluminada

4 months ago

No way, it's all about transferring the risk here.

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Antonette

5 months ago

I thought it was mitigating the risk?

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Celestine

5 months ago

That's definitely transferring the risk!

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Filiberto

5 months ago

I feel like this question is similar to one we did in practice about insurance policies. I think it might be transferring the risk.

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Golda

5 months ago

I'm not entirely sure, but I remember something about mitigating risks being more about reducing them rather than transferring.

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Elroy

5 months ago

I think this is about transferring the risk, right? Buying insurance seems like a way to shift the financial burden.

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Vi

5 months ago

I’m a bit confused. Could it also be seen as mitigating? But I guess transferring makes more sense since they are buying insurance.

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Francesco

5 months ago

I think the answer is PaaS, since the provider is responsible for the most in that model compared to the others.

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Carey

5 months ago

This seems like a straightforward question about data privacy regulations. I'll review the options and try to eliminate the ones that don't seem relevant.

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Jesusa

5 months ago

Okay, let me see... PE1 can't see the VPNv4 routes from the ASBR, and it only has an iBGP relationship with Router 1. I think the key is figuring out how to get those routes to PE1.

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Edelmira

5 months ago

Ah, I think I've got it! The question is asking about the security measure that stops the possible consequences of an incident. That sounds like it's talking about Corrective measures, which are designed to limit the damage after an incident has occurred. I'll go with option A.

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