Multiple choice questions

47. Per the Fraud Examiners Manual, what is an advanced-fee fraud? n which the financial institution requires an excessive down 51. Per the Fraud Examiners Manual, which of the follow A. A scheme i ing best describes tombstone insurance policy? A. A type of fictitious insurance policy where an insurance agent submits a fictitious policy based on names obtained from tombstones in a cemetery B. A type of insurance policy where an insurance agent submits a legitimate claim based on names obtained from tombstones in a cemetery C. A type of insurance policy where the named beneficiary submits a legitimate claim based on names obtained from tombstones in a cemetery payment to obtain a loan with favorable interest rates scheme in which the fraudster persuades the target to advance sums of money by falsely promising the delivery of a product or service C. A scheme in which the fraudster demands to receive an advance (i.e., kickback) from financial institution in exchange for brokering a mortgage D. A scheme in which the fraudster pays an advance to the fin institution in exchange for laundering money A type of fictitious insurance policy where the named beneficiary submits a fictitious policy based on names obtained from tombstones in a cemetery 48. Per the Fraud Examiners Manual, which of the following circumstances require a national bank to submit a Suspicious Activity Report (SAR)? A. There is a known or suspected criminal violation involving the bank, the amount is $5,000 or more and the bank has a substantial basis for identifying a possible suspect. B. There is a known or suspected criminal violation involving the bank and the bank has a substantial basis for identifying bank personnel C. There is a known or suspected criminal violation involving the bank and the amount is $25,000 or more D. All of the above circumstances would require a bank to submit a SAR 52. Per the Fraud Examiners Manual, which of the following best describes ditching? A. A type of insurance scheme where the insurance agent writes a policy for a customer, but abandons the customer by denying any claims the customer may have B. A type of vehicle insurance scheme where the owner of a vehicle (normally an expensive vehicle and purchased with a small down payment) gets rid of a vehicle to cash in on an insurance policy C. A type of vehicle insurance scheme where the owner of a vehicle (normally an inexpensive vehicle) deliberately crashes the vehicle and files an excessive claim based on the damage caused to other vehicles which are usually owned by co-conspirators. D. A type of vehicle insurance scheme where the owner of a vehicle bu an insurance policy after the vehicle has already been stolen or crashed 49. Per the Fraud Examiners Manual, which of the following is true regarding check fraud? A. Law enforcement officials and prosecutors are eager to pursue check fraud cases B. Check fraud is one of the least serious problems affecting the nation's financial system. C. The best solution for the problem of check fraud is for financial institutions and merchants is to educate employees to recognize forged 53. Per the Fraud Examiners Manual, what type of medical provider fraud occurs when healthcare providers bill for a higher-level service than was actually rendered (e.g., filling a prescription with a less expensive drug, while billing for the more expensive form of the drug)? A. Unbundling charges B. Mutually exclusive procedures C. Global service period violations. D. Upcoding nd fraudulent check and the schemes behind them D. All of the above are true. 50. Per the Fraud Examiners Manual, which of the following characteristics are frequently present during fraudulent credit card transaction A. Customer takes a card from a pocket instead of a wallet. B. Customer purchases an unusual number of expensive items. C. Customer makes random purchases, selecting items with little regard to size, quality, or value D. All of the above