### The Ultimate Fraud Prevention Quiz: Test Your Knowledge!

Question: Which of the following is the most effective way to reduce opportunities for fraud in an organization? Question 1Answer a. Hiring more employees b. Reducing the number of audits c. Increasing the salary of employees d. Implementing strong internal controls and segregation of duties Question 2 Not yet answered Marked out of 1.00 Flag question Question text What is the main reason organizations should establish a fraud detection system? Question 2Answer a. To avoid training costs b. To increase productivity c. To monitor employee performance d. To detect and prevent fraudulent activities Question 3 Not yet answered Marked out of 1.00 Flag question Question text What type of fraud occurs when an employee submits false expense claims for reimbursement? Question 3Answer a. Expense reimbursement fraud b. Payroll fraud c. Billing fraud d. Cash skimming Question 4 Not yet answered Marked out of 1.00 Flag question Question text Which of the following best describes rationalization in the fraud triangle? Question 4Answer a. The fraudster faces significant financial pressure b. The fraudster believes they deserve the stolen money c. The fraudster believes they will never get caught d. The fraudster finds an opportunity to steal without detection Question 5 Not yet answered Marked out of 1.00 Flag question Question text How can companies reduce fraud involving cash transactions? Question 5Answer a. Implement better training programs b. Increase employee salaries c. Avoid using cash in business transactions d. Use numbered receipts and balance the cash register daily Question 6 Not yet answered Marked out of 1.00 Flag question Question text What is a key indicator that an employee might be committing fraud? Question 6Answer a. They are friendly with management b. They insist on performing certain tasks not within their responsibilities c. They frequently request time off d. They volunteer for extra shifts Question 7 Not yet answered Marked out of 1.00 Flag question Question text What is the most appropriate action when an employee is suspected of committing fraud? Question 7Answer a. Conduct a thorough investigation to gather evidence b. Immediately terminate their employment c. Publicly confront the employee d. Ignore the issue until it escalates Question 8 Not yet answered Marked out of 1.00 Flag question Question text What is the primary role of internal auditing in fraud prevention? Question 8Answer a. To manage employee performance reviews b. To monitor financial transactions for discrepancies c. To hire new employees d. To train employees on company policies Question 9 Not yet answered Marked out of 1.00 Flag question Question text Which of the following is an example of a preventive control to reduce fraud? Question 9Answer a. Conducting surprise audits b. Monitoring employee satisfaction c. Enforcing a whistleblowing policy d. Segregating duties to ensure no one person controls all aspects of a transaction Question 10 Not yet answered Marked out of 1.00 Flag question Question text What is the first step an organization should take when creating a fraud prevention policy? Question 10Answer a. Conduct a fraud risk assessment to identify vulnerabilities b. Set up employee performance metrics c. Hire a new audit team d. Announce the new policy to the public