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ACFE CFE Exam - Topic 5 Question 68 Discussion

Actual exam question for ACFE's CFE exam

Question #: 68
Topic #: 5

[All CFE Questions]

People commit financial statement fraud to:

AConceal false business performances

BPreserve personal status/control

CMaintain personal income

DStand outside the accounting system

Show Suggested Answer

Suggested Answer: B

by Ashton at Oct 20, 2024, 07:27 PM

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Grover

9 months ago

Totally agree with A and B, they go hand in hand!

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Gertude

9 months ago

D? Really? That seems a bit far-fetched.

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Richelle

10 months ago

C makes sense too, gotta protect that income!

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Pansy

10 months ago

I think B is more common, people want to keep their power.

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Murray

10 months ago

A is definitely a big reason, hiding poor performance.

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Amira

10 months ago

I’m a bit confused about the options. Standing outside the accounting system seems less likely, but I can't recall why exactly.

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William

11 months ago

I practiced a similar question where maintaining personal income was highlighted as a reason for fraud. It feels relevant here too.

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Elroy

11 months ago

I think preserving personal status/control is a big motivator for financial statement fraud, but I could be mixing it up with another topic.

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Barrett

11 months ago

I remember studying how fraud can be used to conceal false business performances, but I'm not sure if that's the only reason.

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Xuan

11 months ago

This is a good test of our understanding of the motivations behind financial statement fraud. I'll review the options closely and try to identify the key factors that drive this unethical behavior. Careful analysis is crucial for getting this one right.

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Vallie

11 months ago

Wait, I'm a little confused. Is the question asking about the main reasons people commit financial statement fraud, or is there something more specific I'm missing? I want to make sure I don't overthink this and select the best option.

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Royal

11 months ago

Okay, I've got this. Financial statement fraud is all about concealing poor business performance and maintaining personal income and status. I'm pretty confident option A and C are the correct answers here.

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Shay

11 months ago

Hmm, I'm a bit unsure about this one. The options seem similar, and I want to make sure I fully understand the nuances between them before answering. I'll need to think this through carefully.

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Leatha

11 months ago

This seems like a straightforward question about the motivations behind financial statement fraud. I'll carefully consider each option and select the one that best captures the key reasons people commit this type of fraud.

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Leatha

1 year ago

If I had a dollar for every time someone tried to commit financial statement fraud, I'd be rich enough to not need to commit financial statement fraud.

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Yong

1 year ago

D? Really? Standing outside the accounting system? That's like a bank robber trying to stand outside the bank while robbing it.

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German

1 year ago

C is the way to go. Let's be real, it's all about maintaining that sweet, sweet personal income at the end of the day.

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Nu

1 year ago

Yeah, personal income is key. Gotta make sure you're taken care of financially.

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Dorethea

1 year ago

I agree, money talks! It's all about keeping that cash flow coming in.

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Juan

1 year ago

C is definitely the best option. Who wouldn't want to maintain their personal income?

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Makeda

1 year ago

I think B is the correct answer. Preserving personal status and control seems like the real motivation behind such fraudulent activities.

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Stephen

1 year ago

Standing outside the accounting system may make it easier for individuals to manipulate financial statements for personal gain.

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Quentin

1 year ago

I think concealing false business performances is also a common reason for committing such fraud.

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Jarvis

1 year ago

I agree, maintaining personal status and control can be a strong motivator for committing financial statement fraud.

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Jesusita

1 year ago

A is the obvious choice here. Why else would someone commit financial statement fraud if not to conceal their poor business performance?

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Huey

1 year ago

B) Preserve personal status/control

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Rozella

1 year ago

I agree, it makes sense that someone would commit fraud to hide their poor business performance.

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Sharen

1 year ago

A) Conceal false business performances

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Xochitl

1 year ago

I think maintaining personal income could also be a reason for committing financial statement fraud.

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Kristofer

1 year ago

I agree with Annabelle, some individuals may do it to preserve personal status/control.

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Annabelle

1 year ago

People commit financial statement fraud to conceal false business performances.

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