CFE – Financial Transactions and Fraud Schemes — Question 84

To help prevent fraudulent billing schemes, it is recommended that companies prohibit competitive bidding practices.

Answer options

• A. True
• B. False

Correct answer: A

Explanation

The correct answer is True because prohibiting competitive bidding practices can reduce the likelihood of fraud by limiting opportunities for manipulation. On the other hand, allowing competitive bidding could introduce vulnerabilities that fraudulent schemes might exploit.