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Exam CFE - Fraud Prevention All Questions

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Exam CFE - Fraud Prevention topic 1 question 46 discussion

Actual exam question from ACFE's CFE - Fraud Prevention
Question #: 46
Topic #: 1
[All CFE - Fraud Prevention Questions]

Which of the following is TRUE regarding corporate governance?

  • A. Fraud risk management is considered to be the foundation of effective corporate governance
  • B. Effective corporate governance practices are most necessary in an organization in which the owners are also the individuals responsible for setting the corporate strategy
  • C. Corporate governance’s primary purpose is to ensure the accuracy of the organization’s financial reports
  • D. An entity’s corporate governance structure specifies the distribution of rights and responsibilities among the different participants in the organization
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Suggested Answer: D 🗳️

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_denw
22 hours, 34 minutes ago
Selected Answer: D
Corporate governance defines how power and responsibility are shared among stakeholders like the board, management, shareholders, and others, making D the correct statement.
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