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ACAMS PRACTICE EXAM WITH COMPLETE QUESTIONS AND CORRECT ANSWERS GRADED A+
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ACAMS PRACTICE EXAM WITH COMPLETE QUESTIONS AND CORRECT ANSWERS GRADED A+
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ACAMS PRACTICE EXAM WITH COMPLETEQUESTIONS AND CORRECT ANSWERS
GRADED A+
Trade-based money laundering requires the ability to:
A. over- or under-invoice the goods.
B. sell the imported goods for as little as possible.
C. use goods that do not need to be declared.
D. avoid the use of high-value assets such as luxury cars or
boats. Correct Answer A. over- or under-invoice the goods.
Which of the following statements is true? Correspondent banking
is most vulnerable to money laundering when the correspondent
account is
A. maintained for foreign financial institutions that are banks.
B. not used to provide services directly to third parties.
C. maintained for a foreign bank that does not have a physical
presence in any country.
D. maintained for a foreign private bank that is publicly traded and
is a qualified intermediary. Correct Answer C. maintained for a
foreign bank that does not have a physical presence in any
country.
Which statement is true?
A. Lawyers in FATF member countries generally cannot be used
to serve as formation agents to set up trusts, front companies or
shell companies.
B. Lawyers and similar professional gatekeepers are called
money services businesses.
C. Lawyers generally cannot be used to act as nominee
shareholders for a beneficial owner.
D. Lawyers can be abused by launderers by using the accounts
they set up for them for the placement and layering of funds.
Correct Answer D. Lawyers can be abused by launderers by
,using the accounts they set up for them for the placement and
layering of funds.
Which three of the following statements are true in respect to the
Fourth EU Anti-Money Laundering
Directive?
A. Member countries can decide when and if they incorporate it
into their local laws.
B. It repeals and replaces the Third EU Directive on Anti-Money
Laundering.
C. Each member country must hold beneficial ownership
information in a central registry and it must be made available to
competent authorities.
D. The definition of a PEP is expanded to include domestic
persons. Correct Answer B. It repeals and replaces the Third EU
Directive on Anti-Money Laundering.
C. Each member country must hold beneficial ownership
information in a central registry and it must be made available to
competent authorities.
D. The definition of a PEP is expanded to include domestic
persons.
According to the EU Directives, an independent legal professional
is obligated to report suspicion of money laundering in a client
relationship when
A. representing a client in a legal matter.
B. ascertaining the legal position for a client.
C. participating in financial or corporate transactions.
D. obtaining information associated with a judicial proceeding.
Correct Answer C. participating in financial or corporate
transactions.
,Which of the following is the most difficult regulatory challenge
facing a foreign financial institution with a correspondent banking
relationship in the U.S.?
A. USA PATRIOT Act
B. Basel Due Diligence Principles for Banks
C. FATF Guidance on Terrorist Financing
D. UN Security Council Resolution on Correspondent Banking
Correct Answer A. USA PATRIOT Act
Which were the Basel Committee's two main motivations to
encourage strong know your customer programs in its paper
Customer Due Diligence for Banks? (Choose two)
A. Mirror FATF's KYC recommendations.
B. Meet European Union guidelines.
C. Protect the safety and soundness of banks.
D. Protect the integrity of banking systems. Correct Answer C.
Protect the safety and soundness of banks.
D. Protect the integrity of banking systems.
What is the definition of a predicate offense?
A. Lawful or unlawful activity that involves willful blindness, and if
there is an international element to the crime, can lead to a
suspicious activity report
B. Unlawful activity whose proceeds, if involved in the transaction,
can give rise to prosecution for the crime of money laundering
C. An interface that is the underlying segment of a suspicious
transaction monitoring system
D. A specified unlawful activity that is committed through
concentration accounts deceiving customers that are not directly
related to the account Correct Answer B. Unlawful activity whose
proceeds, if involved in the transaction, can give rise to
prosecution for the crime of money laundering
What is considered a beneficial owner of an account?
, A. A person or entity who has direct signatory authority over an
account and whose name appears on the account
B. A person or entity who is ultimately entitled to the funds in the
account, even though his or her name may not appear on the
account
C. A person or entity who is the originator and the destination of
most (but not all) transactions conducted within the account but
who does not ultimately control such funds
D. A person or entity who is a gatekeeper, has the legal title to the
account and typically transfers the funds to a trust Correct Answer
B. A person or entity who is ultimately entitled to the funds in the
account, even though his or her name may not appear on the
account
FinCEN's 'Advisory to U.S. Financial Institutions on Promoting a
Culture of Compliance', published in 2014, listed six areas of
emphasis. Which three areas are included in that list?
A. Leadership should be engaged.
B. Information should be shared throughout the organization.
C. Leadership and staff should understand how their BSA reports
are used.
D. The organization must have an appropriately qualified
compliance officer. Correct Answer A. Leadership should be
engaged.
B. Information should be shared throughout the organization.
D. The organization must have an appropriately qualified
compliance officer.
Which of the following should a national legislature consider when
criminalizing money laundering in line with the CFATF 19
Recommendations? (Choose three.)
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