Updated: Jun 10, 2026
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1. Which o! the following are considered best practices regarding senior management involvement in a financial crime compliance program? (Select Two.)
A) Mandatory participation in all regulatory inspections
B) Setting clear criteria for escalations to senior management
C) Setting tone from the top
D) Mandatory attendance and review of alt financial crime trainings
2. The first line of defense is responsible for:
A) suspicious activity and sanctions reporting.
B) evaluating the effectiveness of compliance controls.
C) ongoing screening of customers.
D) collecting complete customer information.
3. What is the PRIMARY AML concern regarding prepaid cards?
A) They eliminate cyber risks completely
B) They may permit anonymous movement of funds
C) They reduce transaction speed
D) They always generate interest income
4. A financial institution notices unusual transactions involving nonprofit organizations operating in conflict zones. Which risk should receive heightened attention?
A) Terrorist financing abuse
B) Consumer credit scoring risk
C) Mortgage default risk
D) Market volatility risk
5. The financial industry relies heavily on rules-based approaches to transaction monitoring to detect suspicious activities. Scenario-based systems use technology and algorithms to identify:
(Choose three.)
A) anomalies involving a transaction that occurs in a location far away from the customer's usual spending patterns.
B) fraudulent identities involving stolen or manufactured identification.
C) hidden beneficial owners.
D) transaction patterns involving transactions that exceed a certain dollar amount.
E) suspicious behavior involving a transaction that occurs at an unusual time of day.
Solutions:
| Question # 1 Answer: B,C | Question # 2 Answer: D | Question # 3 Answer: B | Question # 4 Answer: A | Question # 5 Answer: A,D,E |
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