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

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

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.

Suggested Answer: B

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23 comments · newest first
MA
Mammie 18 days ago
True. Complexity often leads to gaps in monitoring.
BE
Beckie 24 days ago
I lean towards false. Specialized roles can catch issues too.
GL
Glory 29 days ago
But with so many layers, it’s easy to hide things. True makes sense.
LE
Leota 1 month ago
I’m not so sure. Could be false. Checks can be in place.
LE
Leoma 1 month ago
I agree, true. Oversight gets complicated.
DA
Darell 1 month ago
I think it's true. More departments mean more chances for fraud.
ED
Edmond 2 months ago
True, but it depends on the management too.
BR
Brandon 2 months ago
I’m leaning towards false. Some structures can be effective.
CA
Carolynn 2 months ago
Exactly, accountability gets lost in complexity.
PH
Phillip 2 months ago
I feel like it’s a setup for fraud.
DA
Dana 2 months ago
Still, complex structures often lead to oversight.
DO
Donette 3 months ago
But what if there are checks in place?
JU
Julieta 3 months ago
I agree, too many layers can hide issues.
VI
Virgie 3 months ago
I think it's true. More departments mean more chances for fraud.
TH
Theola 3 months ago
I’m not convinced, it depends on the culture of the organization.
PA
Pansy 3 months ago
Interesting point, but can’t specialized teams also catch fraud?
GE
Gearldine 3 months ago
Really? I thought more departments meant more checks.
CY
Cyril 4 months ago
Totally agree, too many layers can hide issues.
SH
Shaun 4 months ago
True, more departments can mean less oversight.
FL
Flo 4 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.
DE
Deane 5 months ago
This reminds me of a practice question we did about organizational design and fraud risk. I think the answer is A) True.
RI
Richelle 6 months ago
I'm not entirely sure. I feel like some departments might have checks in place that could actually prevent fraud.
OZ
Ozell 6 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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