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ACAMS Practice Exam 6th Ed. With verified answers, Exams of Nursing

The College of New Jersey (TCNJ)Nursing

ACAMS Practice Exam 6th Ed. With verified answers

Typology: Exams

2024/2025

Available from 02/07/2025

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⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
ACAMS Practice Exam 6th Ed. With
verified answers
εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸ ⪛⪴⪴⪷⪱⪘⪞⪴⪸
εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸ ⪛⪴⪴⪷⪱⪘⪞⪴⪸
εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸ ⪛⪴⪴⪷⪱⪘⪞⪴⪸
1. What is the Right of Reciprocity in the field of international cooperation
against money laundering?
A. The legal principle that financial institutions that have referred customers to
other financial institutions can share information about these customers with
the other institutions.
B. A rule of the Basel Committee allowing properly regulated financial institutes
of another member state of the Basel Committee to do business without
additional supervision to the degree that the other state grants the same right.
C. The right of each FATF member country to delegate prosecution of a case of
money laundering to another member that is already investigating the same
case.
D. A rule in the law of a country allowing its authorities to cooperate with
authorities of other countries to the degree that their law allows them to do the
same.. - correct answer ✔D. A rule in the law of a country allowing its
authorities to cooperate with authorities of other countries to the degree that
their law allows them to do the same.
1. Which of the following is the most common method of laundering money
through a legal money services business?
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ
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Partial preview of the text

Download ACAMS Practice Exam 6th Ed. With verified answers and more Exams Nursing in PDF only on Docsity!

ACAMS Practice Exam 6th Ed. With

verified answers

⪛⪴⪴⪷⪱⪘⪞⪴⪸ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ ⪛⪴⪴⪷⪱⪘⪞⪴⪸ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ ⪛⪴⪴⪷⪱⪘⪞⪴⪸ εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ ⪛⪴⪴⪷⪱⪘⪞⪴⪸εΘΙΙμλΜιΙππππ ιΤΜΜτλμτΧ

1. What is the Right of Reciprocity in the field of international cooperation

against money laundering?

A. The legal principle that financial institutions that have referred customers to

other financial institutions can share information about these customers with

the other institutions.

B. A rule of the Basel Committee allowing properly regulated financial institutes

of another member state of the Basel Committee to do business without

additional supervision to the degree that the other state grants the same right.

C. The right of each FATF member country to delegate prosecution of a case of

money laundering to another member that is already investigating the same

case.

D. A rule in the law of a country allowing its authorities to cooperate with

authorities of other countries to the degree that their law allows them to do the

same.. - correct answer ✔D. A rule in the law of a country allowing its

authorities to cooperate with authorities of other countries to the degree that

their law allows them to do the same.

1. Which of the following is the most common method of laundering money

through a legal money services business?

A. Purchasing structured money instruments.

B. Smuggling bulk-cash.

C. Transferring funds through Payable Through Accounts (PTAs).

D. Exchanging Colombian pesos on the black market. - correct answer ✔A.

Purchasing structured money instruments.

1. In general, the three phases of money laundering are said to be: Placement:

A. Structuring and manipulation.

B. Layering and integration.

C. Layering and smurfing.

D. Integration and infiltration. - correct answer ✔B. Layering and integration.

1. Which statement is true?

A. Bust-out schemes are popular in creating large bankruptcy frauds where

businesses secure increasing loans in excess of the actual value of the company

or property and then run with the money, leaving the lender to foreclose and

take a substantial loss.

D. Policyholders who redeem the policy within the "free look" period.

1. Which two activities are typically associated with the black market peso

exchange (BMPE) money laundering system?

A. Converting illicit drug proceeds from dollars or Euros to Colombian pesos.

B. Converting illicit drug proceeds from Colombian pesos to dollars or Euros.

C. Facilitating purchases by Colombian importers of goods manufactured in the

United States or Europe through peso brokers.

D. Facilitating purchases by European or U.S. importers of goods manufactured

in Colombia through peso brokers. - correct answer ✔D. A rule in the law of a

country allowing its authorities to cooperate with authorities of other countries

to the degree that their law allows them to do the same.

1. The greatest risk for money laundering is for casinos that

A. Provide their customers with a wide array of gambling services.

B. Operate in a non-Egmont member country.

C. Allow customers with credit balances to withdraw funds by check in another

jurisdiction.

D. Only send suspicious transaction reports to the financial intelligence unit of

the country it operates in. - correct answer ✔C. Allow customers with credit

balances to withdraw funds by check in another jurisdiction.

1. Which statement is true regarding the risk of Politically Exposed Persons

(PEPs)?

A. PEPs provide access to third parties on whom the financial institution has not

conducted sufficient due diligence.

B. PEPs have significantly greater exposure to the politically corrupt funds,

including accepting bribes or misappropriating government funds.

C. PEPs are foreign customers who inherently present additional risk as they are

engaged in cross- border transactions.

D. PEPs generally do not pose enhanced risks to an institution due to their

political standing; rather, PEPs increase the prestige of an institution. - correct

answer ✔B. PEPs have significantly greater exposure to the politically corrupt

funds, including accepting bribes or misappropriating government funds.

1. In 2014 the Wolfsberg Group published their Anti-Money Laundering

Principles for Correspondent Banking. Which three of the following elements

are recommended to be included in the due diligence of a Correspondent

Banking client?

A. The geographic risk.

D. That the customer appears unconcerned about the fees.

1. 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.

1. 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.

1. Which statement is true? Lawyers:

A. In FATF member countries can generally not be used to serve as formation

agents to set up trusts, front companies or shell companies.

B. And similar professional "gatekeepers" are called money services businesses.

C. Can generally not be used to act as a nominee shareholder for a beneficial

owner.

D. Can be abused by launderers by using the accounts they set up for them for

the placement and layering of funds. - correct answer ✔D. Can be abused by

launderers by using the accounts they set up for them for the placement and

layering of funds.

1. Which three of the following statements are true in respect of the Fourth EU

Anti-Money Laundering Directive?

A. Member countries can decide when and if the incorporate it into their own

local laws.

B. It repeals and replaces the Third EU Directive on Anti- Money Laundering.

C. The beneficial owner is defined as having a minimum of 25% direct or indirect

ownership of the company.

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.

1. Which were the Basel Committee's two main motivations to encourage strong

Know Your Customer programs in its paper "Customer Due Diligence for

Banks"?

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.

1. 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 which 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.

1. What is considered a beneficial owner of an account? A person or entity:

A. That has direct signatory authority over an account, and whose name

appears on the account.

B. That is ultimately entitled to the funds in the account, even though his name

may not appear on the account.

C. That 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. That is a gatekeeper, has the legal title to the account, and typically transfers

the funds to a trust. - correct answer ✔B. That is ultimately entitled to the funds

in the account, even though his name may not appear on the account.

C. Indicate whether it is relevant that a predicate offense may have been

committed outside the local jurisdiction.

D. Require money laundering offenses to prove that the offender has actual

knowledge of a criminal connection to the funds. - correct answer ✔A. Do not

limit the number of specific predicate offenses for money laundering.

B. Criminalize conspiracy or association to engage in money laundering.

C. Indicate whether it is relevant that a predicate offense may have been

committed outside the local jurisdiction.

1. Which three statements are true about the 4th EU Directive on Money

Laundering? It:

A. Updates European Community legislation to be further in line with the

Financial Action Task Force (FATF) 40 Recommendations.

B. Repeats the definition of a politically exposed person in previous Directives.

C. Repeats the customer due diligence requirements of the previous Directives,

but adds more detail to the requirements by, for example, including a specific

requirement to identify the beneficial owner and includes ongoing monitoring

requirements.

D. Requires firms to apply the customer due diligence requirements to existing

customers at appropriate times on a risk sensitive basis. - correct answer ✔A.

Updates European Community legislation to be further in line with the Financial

Action Task Force (FATF) 40 Recommendations.

C. Repeats the customer due diligence requirements of the previous Directives,

but adds more detail to the requirements by, for example, including a specific

requirement to identify the beneficial owner and includes ongoing monitoring

requirements.

D. Requires firms to apply the customer due diligence requirements to existing

customers at appropriate times on a risk sensitive basis.

1. Which one of the following statements is correct in respect of the FATF 40

Recommendations which state that countries should:

A. Not allow bearer shares and legal persons that are able to issue bearer

shares.

B. Gather statistics on STRs; prosecutions and convictions; on property frozen,

seized and confiscated; and on mutual legal assistance, but not necessarily on

other international requests for co- operation.

C. Consider the feasibility of a system where banks and other financial

institutions and intermediaries would report currency transactions without

indicating a minimum fixed amount.

D. Not approve the establishment or accept the continued operation of shell

banks. - correct answer ✔D. Not approve the establishment or accept the

continued operation of shell banks.

C. Placement.

D. Construction. - correct answer ✔C. Placement.

1. In which stage of money laundering would you classify the use of laundered

funds to purchase high value assets and luxury items?

A. Integration.

B. Structuring.

C. Placement.

D. Construction. - correct answer ✔A. Integration.

1. In most laws criminalizing money laundering, it is stated that:

A. Financial institutions are not responsible for money laundering or suspicious

transactions taking place within their accounts until the government places the

customer on a watch list.

B. Informing customers that their accounts and/or transactions are the subject

of an AML investigation is not punishable.

C. The dirty money undergoing money laundering will not be confiscated

because of privacy laws.

D. It is required that the institution identifies the beneficial owner(s) of the

account. - correct answer ✔D. It is required that the institution identifies the

beneficial owner(s) of the account.

1. The tactic in which individuals make multiple deposits in small quantities to

avoid detection is called:

A. Paralleling.

B. Integration.

C. Investing.

D. Structuring. - correct answer ✔D. Structuring.

1. In which case might a Suspicious Transaction Report NOT be necessary?

A. A customer who deposits money of suspicious origins and refuses to answer

questions from the financial institution's staff.

B. A customer who tries to move money that is suspected of being derived from

criminal activity.

C. A customer who owns a large supermarket and deposits large amounts of

cash several times a day.

B. Congratulate his friend and, as soon as possible, ensure that the Compliance

Officer is aware of the situation.

C. Nothing because the appropriate controls are in place for such events.

D. Immediately report the situation to the regulators. - correct answer ✔B.

Congratulate his friend and, as soon as possible, ensure that the Compliance

Officer is aware of the situation.

1. What is willful blindness defined as?

A. Failing to file a Suspicious Transaction Report for dealing with companies or

financial institutions from offshore tax havens.

B. Not following customer identification procedures as set out in the

institution's procedures.

C. Deliberate avoidance of knowledge of the facts or ignoring obvious money

laundering red flags.

D. Deliberate avoidance of a customer based on the assumption that his or her

behavior suggested a potential threat as money launderer and/or terrorist. -

correct answer ✔C. Deliberate avoidance of knowledge of the facts or ignoring

obvious money laundering red flags.

1. In anti-money laundering terminology a "red flag" is:

A. A warning sign indicating potentially suspicious, risky transactions or

activities.

B. A general banking term used once the balance is negative / overdue.

C. The standard flag of countries not cooperative in fighting money laundering

and terrorist financing.

D. An indicator that a customer is listed on an economic sanctions list. - correct

answer ✔A. A warning sign indicating potentially suspicious, risky transactions

or activities.

1. The AML Reporting Officer of a financial institution should:

A. Report everything that comes his way from anyone in the organization.

B. Report everything that comes his way from senior management or Board of

Directors.

C. Review all available information and file a Suspicious Transaction Report in

respect of any unusual or potentially suspicious activity.

D. Report only what the Reporting Officer's superior agrees should be reported.

- correct answer ✔C. Review all available information and file a Suspicious

Transaction Report in respect of any unusual or potentially suspicious activity.

1. Which of the following statements is true?