ACFE Exam CFE-Fraud-Prevention-and-Deterrence Topic 4 Question 85 Discussion

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

Question #: 85
Topic #: 4

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

The internal auditor's fraud-related responsibilities include which of the following?

AEvaluating whether management is actively retaining responsibility for oversight of the fraud risk management program

BReporting to regulators regarding the entity's vulnerability to fraud

COverseeing management's actions to manage fraud risks

DAttesting that the organization's financial statements are free of material misstatements caused by fraud

Show Suggested Answer

Suggested Answer: A

by Lucina at Jun 01, 2024, 11:04 AM

Limited Time Offer

25%

Off

Get Premium CFE-Fraud-Prevention-and-Deterrence Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Marge

8 months ago

Hah, Option B is like the auditor's version of 'snitching'. I'll stick with C, thanks very much.

upvoted 0 times

Rosalyn

7 months ago

I think C is more about overseeing management's actions.

upvoted 0 times

...

Lura

7 months ago

I agree, Option B does seem like snitching.

upvoted 0 times

...

Yasuko

8 months ago

Option B? Reporting to regulators? That's just asking for trouble. I'd rather not be the one to break that news to management!

upvoted 0 times

...

Stephaine

8 months ago

This is a tough one, but I'd have to go with Option C. Overseeing management's actions is a more hands-on approach that aligns with the auditor's duties.

upvoted 0 times

...

Aliza

8 months ago

Hmm, I'm not sure about that. Evaluating management's oversight of the fraud risk management program, Option A, also seems like a key responsibility for the internal auditor.

upvoted 0 times

Taryn

7 months ago

Yeah, I agree. It's crucial for the internal auditor to ensure that management is actively retaining responsibility for that.

upvoted 0 times

...

Francine

8 months ago

I think evaluating management's oversight of the fraud risk management program is important.

upvoted 0 times

...

Latanya

8 months ago

I disagree, I think Option D is the correct answer. The auditor's responsibility should be to attest that the financial statements are free of material misstatements caused by fraud.

upvoted 0 times

Theodora

7 months ago

I also think Option A is the right answer. It's important for the auditor to ensure management is actively involved in managing fraud risks.

upvoted 0 times

...

Ettie

7 months ago

I agree with Ettie. Option A seems like a crucial responsibility for the internal auditor.

upvoted 0 times

...

Benton

7 months ago

I think Option A is correct. The auditor should evaluate whether management is actively retaining responsibility for oversight of the fraud risk management program.

upvoted 0 times

...

Maryln

8 months ago

I believe overseeing management's actions to manage fraud risks is also a key responsibility for the internal auditor.

upvoted 0 times

...

Nana

8 months ago

I agree with Felicitas. It's important for the auditor to make sure management is on top of fraud risks.

upvoted 0 times

...

Dorsey

9 months ago

Option C seems like the most appropriate responsibility for the internal auditor. Overseeing management's actions to manage fraud risks is a crucial part of the auditor's role.

upvoted 0 times

Barney

7 months ago

Yes, overseeing management's actions to manage fraud risks is essential to ensure the organization's financial integrity.

upvoted 0 times

...

Antonio

7 months ago

I agree, option C is definitely a key responsibility for the internal auditor.

upvoted 0 times

...

Nan

8 months ago

Yes, overseeing management's actions to manage fraud risks is essential for ensuring the organization's financial integrity.

upvoted 0 times

...

Clarinda

8 months ago

I agree, option C is definitely a key responsibility for the internal auditor.

upvoted 0 times

...

Felicitas

9 months ago

I think the internal auditor should evaluate whether management is actively retaining responsibility for oversight of the fraud risk management program.

upvoted 0 times

...