ACFE CFE-Fraud-Prevention-and-Deterrence Exam - Topic 1 Question 84 Discussion

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

Question #: 84
Topic #: 1

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

Gregory, an internal auditor, and Brandon, the company's purchasing manager, have had several heated disagreements over purchasing procedures and policies. Gregory has just been told that he will be the lead on the company's fraud risk assessment. During the fraud risk assessment. Gregory should:

AConfront Brandon about the disagreements and discuss how they increase the organization's risk of fraud-

BHave someone else perform the fraud risk assessment work related to the purchasing function

CInclude his disagreements with Brandon as a factor when assessing the risk of fraud in the purchasing function.

DAutomatically designate the purchasing function as a high-risk area.

Show Suggested Answer

Suggested Answer: B

by Alana at May 18, 2024, 07:06 AM

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Pamella

5 months ago

B could work, but it feels like avoiding the problem.

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Lavonne

5 months ago

Wait, is it really that simple? Surprised by the options here.

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Verda

5 months ago

D seems too extreme. Not all purchasing is high-risk.

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Louann

5 months ago

I disagree, A is the way to go. Confrontation can clear the air!

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Eun

6 months ago

C makes the most sense. Gotta consider the disagreements.

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Magda

6 months ago

I recall that automatically labeling a function as high-risk without evidence isn't a good practice, so option D seems wrong to me. It feels like it could lead to unfair assumptions.

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Jacob

6 months ago

I practiced a similar question where the auditor had to navigate conflicts, and I feel like option B could be a safe choice to avoid further conflict, but it might not be thorough.

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Vanda

6 months ago

I think option C makes sense because personal disagreements could definitely impact the risk assessment, but I wonder if it could bias the results.

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Jamie

6 months ago

I remember discussing the importance of communication in fraud assessments, so option A might be a good approach, but I'm not sure if confronting Brandon is the best way to handle it.

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Lauran

6 months ago

This question is making me a little nervous. I want to make sure I handle it professionally and objectively. I think I'll include the disagreements as a factor, but avoid any direct confrontation with Brandon.

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Maynard

6 months ago

Automatically designating the purchasing function as high-risk seems a bit extreme to me. I think the best approach is to carefully consider the disagreements with Brandon as part of the overall fraud risk assessment.

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Celestine

6 months ago

Hmm, I'm a bit confused on this one. Should I just have someone else do the purchasing part to avoid any bias? Or should I include the disagreements as a factor in the risk assessment?

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Maryann

6 months ago

This is a tricky one. I'm not sure if I should confront Brandon directly or try to stay objective. I'll need to think carefully about how to handle the personal disagreements.

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Alfreda

7 months ago

I've got this! The key is to include the disagreements as a factor when assessing the fraud risk in the purchasing function. That way, I can be objective and thorough in my assessment.

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Cristina

7 months ago

Okay, I've got this. The key is finding a compensation method that aligns organizational goals with individual employee motivation. I think profit sharing is the best option here.

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Ernestine

7 months ago

I'm a bit confused by this question. I'll need to review the field visibility and security settings to figure out what could be causing this.

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Latosha

11 months ago

I'm just picturing Gregory and Brandon having a heated debate in the middle of the fraud assessment. Like, 'No, you're the one who's cooking the books!' *throws stapler*

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Mitsue

11 months ago

D? Automatically high-risk? Wow, talk about jumping to conclusions. Gregory's got to be more diplomatic than that. C is the way to go, for sure.

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Ezekiel

11 months ago

Ah, C is the clear winner here. Gregory's got to be smart about this and use the disagreements to his advantage. After all, 'keep your friends close and your enemies closer', right?

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Jamal

10 months ago

A: C is definitely the best option for Gregory in this situation.

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Valentin

10 months ago

B: I agree, it's important for Gregory to be strategic and handle the situation carefully.

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Denae

11 months ago

A: Gregory should definitely use his disagreements with Brandon to his advantage during the fraud risk assessment.

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Terrilyn

12 months ago

What? Confront Brandon? No way, that's just asking for trouble. B is the best option - have someone else handle the purchasing function to avoid any bias or conflict.

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Francoise

10 months ago

That way we can ensure there's no bias or conflict.

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Rebbecca

10 months ago

I agree, it's better to have someone else handle purchasing.

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Thaddeus

11 months ago

Let's not make things worse by confronting Brandon.

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Elly

1 year ago

I think including the disagreements with Brandon in the risk assessment is crucial.

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Marylin

1 year ago

I think C is the way to go. Gregory should include the disagreements as a factor when assessing the fraud risk. That's the most objective and professional approach.

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