ACFE CFE-Fraud-Prevention-and-Deterrence Exam - Topic 4 Question 121 Discussion

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

Question #: 121
Topic #: 4

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

Willow, Inc. has a complex organizational structure with many specialized departments. The structure of Willow, Inc. increases the likelihood that fraud will go undetected within the organization.

ATrue

BFalse

Show Suggested Answer

Suggested Answer: B

by Blossom at May 01, 2026, 07:06 PM

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Edmond

4 days ago

True, but it depends on the management too.

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Brandon

9 days ago

I’m leaning towards false. Some structures can be effective.

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Carolynn

15 days ago

Exactly, accountability gets lost in complexity.

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Phillip

20 days ago

I feel like it’s a setup for fraud.

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Dana

25 days ago

Still, complex structures often lead to oversight.

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Donette

1 month ago

But what if there are checks in place?

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Julieta

1 month ago

I agree, too many layers can hide issues.

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Virgie

1 month ago

I think it's true. More departments mean more chances for fraud.

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Theola

2 months ago

I’m not convinced, it depends on the culture of the organization.

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Pansy

2 months ago

Interesting point, but can’t specialized teams also catch fraud?

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Gearldine

2 months ago

Really? I thought more departments meant more checks.

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Cyril

2 months ago

Totally agree, too many layers can hide issues.

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Shaun

2 months ago

True, more departments can mean less oversight.

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Flo

2 months ago

I have mixed feelings about this. While complexity can lead to issues, I wonder if it also depends on the internal controls in place.

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Deane

4 months ago

This reminds me of a practice question we did about organizational design and fraud risk. I think the answer is A) True.

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Richelle

4 months ago

I'm not entirely sure. I feel like some departments might have checks in place that could actually prevent fraud.

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Ozell

4 months ago

I remember studying how complex structures can create silos that might hide fraudulent activities. I think this statement is true.

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