CCEP Exam (Compliance) 128 Quizzes with
Certified Ans
What are the 7 elements of a Compliance Program? - Answer: 1. Standards of Conduct/Policies
and Procedures, 2. Compliance Officer and Compliance Committee, 3. Education/Training, 4.
Monitoring/Auditing, 5. Reporting and Investigating, 6. Enforcement and Discipline, 7. Response
and Prevention
A CFO discovers the CEO is using company funds for personal expenses. The CFO buried this
information in the company's financial reports. The compliance and ethics professional learns of
the situation through the company's hotline. Which of the following should be the compliance
and ethics professional's FIRST response? - Answer: Investigate to verify the allegation
Which of the following is the MOST effective way a compliance and ethics professional can
evaluate compliance and ethics audit findings? - Answer: Conduct trend analysis on identified
risk areas and benchmark results against industry standards
Page 1 of 18
,Which of the following BEST describes the primary role of people of a compliance and ethics
professional? - Answer: Promotes a culture of compliance and ethics throughout the
organization
A US-based retail company has 250 stores in 30 states. Past compliance efforts have included a
silo-based approach with minimal oversight and the CEO acting as the Compliance and Ethics
Officer. One person in each state posted compliance-related information sent from corporate,
but there were no actual educational sessions. Policies and procedures were developed by
corporate and reviewed 5 years ago. The organization has decided that a more dedicated
approach is needed and hires a Compliance and Ethics Officer. Which of the following actions
should the new Compliance and Ethics Officer take FIRST?
A.) Conduct a compliance and ethics risk assessment
B.) Review organization-wide compliance policies
C.) Perform a statistically valid compliance audit
D.) Distribute a compliance training packet to employees - Answer: Conduct a compliance and
ethics risk assessment
An employee discloses that a supervisor has been verbally abusive. The same supervisor has
also been sexually harassing several employees in his department. The compliance program
requires that findings of harassment be documented and forwarded by the compliance and
ethics professional to the CEO with a recommendation for appropriate discipline. Counsel
advises that no report be written because of possible litigation. The compliance and ethics
professional's BEST course of action is to... - Answer: Ask counsel to prepare the written report
Which of the following is the BEST outcome of a compliance and ethics program? - Answer:
Mitigating risk
Page 2 of 18
, A compliance and ethics professional receives an anonymous complaint that an employee is
receiving gifts from a vendor. An investigation finds the employee is not in violation of the
current gift policy and the policy has not been reviewed in five years. Which of the following is
the compliance and ethics professional's MOST appropriate action? - Answer: Benchmark for
vendor relation best practices
A problem was found in a routine accounting audit. Corrective action was taken and the policies
and procedures were updated. Which of the following is the next step in the audit process?
A) Report findings to the board of directors
B) Prepare the final summary and storage of the audit results
C) Review the process after a period of time to determine if the problem is resolved
D) Conduct a risk assessment to identify other possible issues. - Answer: Review the process
after a period of time to determine if the problem is resolved.
What is the first step in the audit process? - Answer: Identify a problem
What is the second step in the audit process? - Answer: Take corrective action
What is the third step in the audit process? - Answer: Update policies & procedures
What is the fourth step in the audit process? - Answer: Communicate changes(s) to affected
parties
What is the last step in the audit process? - Answer: Review process and documentation after a
period of time to ensure success.
If in the course of their work, CEPs become aware of any decision by their employing
organization which, if implemented, would constitute misconduct, the professional shall:
(A) refuse to consent to the decision
Page 3 of 18
Certified Ans
What are the 7 elements of a Compliance Program? - Answer: 1. Standards of Conduct/Policies
and Procedures, 2. Compliance Officer and Compliance Committee, 3. Education/Training, 4.
Monitoring/Auditing, 5. Reporting and Investigating, 6. Enforcement and Discipline, 7. Response
and Prevention
A CFO discovers the CEO is using company funds for personal expenses. The CFO buried this
information in the company's financial reports. The compliance and ethics professional learns of
the situation through the company's hotline. Which of the following should be the compliance
and ethics professional's FIRST response? - Answer: Investigate to verify the allegation
Which of the following is the MOST effective way a compliance and ethics professional can
evaluate compliance and ethics audit findings? - Answer: Conduct trend analysis on identified
risk areas and benchmark results against industry standards
Page 1 of 18
,Which of the following BEST describes the primary role of people of a compliance and ethics
professional? - Answer: Promotes a culture of compliance and ethics throughout the
organization
A US-based retail company has 250 stores in 30 states. Past compliance efforts have included a
silo-based approach with minimal oversight and the CEO acting as the Compliance and Ethics
Officer. One person in each state posted compliance-related information sent from corporate,
but there were no actual educational sessions. Policies and procedures were developed by
corporate and reviewed 5 years ago. The organization has decided that a more dedicated
approach is needed and hires a Compliance and Ethics Officer. Which of the following actions
should the new Compliance and Ethics Officer take FIRST?
A.) Conduct a compliance and ethics risk assessment
B.) Review organization-wide compliance policies
C.) Perform a statistically valid compliance audit
D.) Distribute a compliance training packet to employees - Answer: Conduct a compliance and
ethics risk assessment
An employee discloses that a supervisor has been verbally abusive. The same supervisor has
also been sexually harassing several employees in his department. The compliance program
requires that findings of harassment be documented and forwarded by the compliance and
ethics professional to the CEO with a recommendation for appropriate discipline. Counsel
advises that no report be written because of possible litigation. The compliance and ethics
professional's BEST course of action is to... - Answer: Ask counsel to prepare the written report
Which of the following is the BEST outcome of a compliance and ethics program? - Answer:
Mitigating risk
Page 2 of 18
, A compliance and ethics professional receives an anonymous complaint that an employee is
receiving gifts from a vendor. An investigation finds the employee is not in violation of the
current gift policy and the policy has not been reviewed in five years. Which of the following is
the compliance and ethics professional's MOST appropriate action? - Answer: Benchmark for
vendor relation best practices
A problem was found in a routine accounting audit. Corrective action was taken and the policies
and procedures were updated. Which of the following is the next step in the audit process?
A) Report findings to the board of directors
B) Prepare the final summary and storage of the audit results
C) Review the process after a period of time to determine if the problem is resolved
D) Conduct a risk assessment to identify other possible issues. - Answer: Review the process
after a period of time to determine if the problem is resolved.
What is the first step in the audit process? - Answer: Identify a problem
What is the second step in the audit process? - Answer: Take corrective action
What is the third step in the audit process? - Answer: Update policies & procedures
What is the fourth step in the audit process? - Answer: Communicate changes(s) to affected
parties
What is the last step in the audit process? - Answer: Review process and documentation after a
period of time to ensure success.
If in the course of their work, CEPs become aware of any decision by their employing
organization which, if implemented, would constitute misconduct, the professional shall:
(A) refuse to consent to the decision
Page 3 of 18
