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NEW QUESTION 30
Management at ABC Corp. is assessing the company's ethical tone and how it affects the organization's fraud risk. To MOST EFFECTIVELY reinforce an anti-fraud culture, management should:

A. Create an environment in which employees are dissuaded from challenging management's decisionsB. Visibly adhere to the same set of ethics policies that is required of all employeesC. Use a checklist of initiatives to make sure all the elements of a strong tone at the lop are in placeD. All of the above

Answer: B

 

NEW QUESTION 31
Which of the following statements regarding recommended vendor due diligence procedures is MOST ACCURATE?

A. An organization should request that new vendors fill out a questionnaire about their background immediately after signing a contract with them.B. An organization should include a clause in the contract requiring the vendor to report any misconduct before entering into an agreement with them.C. An organization should subject vendors to an internal audit conducted by the organization's own auditors before agreeing to do business with them.D. An organization should avoid revealing that it is seeking information about potential vendors prior to starting a relationship with them.

Answer: B

 

NEW QUESTION 32
XYZ. Inc. is a publicly traded, multi-national corporation. Which of the following statements is TRUE regarding the corporate governance requirements that XYZ is subject to?

A. XYZ is subject to the Universal Corporate Governance Act because it is a publicly traded corporation.B. XYZ is not required to comply with any corporate governance requirements because it operates in multiple jurisdictionsC. XYZ must comply with the various laws and regulations in the countries in which it operatesD. XYZ is required to comply with G20'OECD Principles of Corporate Governance.

Answer: C

 

NEW QUESTION 33
Which of the following statements is FALSE regarding an organization's fraud risk management program?

A. The program must include mechanisms to monitor and identify breaches in compliance.B. Formal sanctions for intentional noncompliance should be well-publicized throughout the companyC. The responsibility of handling suspected incidents of noncompliance should be delegated to someone outside of the company.D. There should be measures in place to address failures in the design or operation of anti-fraud controls, as well as fraud occurrences

Answer: C

 

NEW QUESTION 34
In a company with all of the following parties, who should have primary responsibility for the oversight of the organization s compliance program?

A. The chief ethics officerB. General counselC. Internal auditD. The board of directors

Answer: D

 

NEW QUESTION 35
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