CAMS Practice Test

CAMS Practice Test practice questions, page 17 of 26, with answer review and explanations.

Question 81

A compliance officer provides an overview of the bank's anti-money laundering program to a group of new tellers during employee orientation. Which training element should be delivered to this audience?

  1. Results of recent risk assessments
  2. Large cash transaction reporting procedures
  3. The financial institution's surprise cash audit policy
  4. Past check fraud losses incurred by the financial institution

Question 82

Which red flag indicates high potential for money laundering in a real estate purchase?

  1. The purchaser is a nominee
  2. The purchaser had a previous bankruptcy
  3. The purchaser owns a cash intensive business
  4. The purchaser is not a resident where the property is located

Question 83

A compliance officer at a small community bank has been asked to review existing customer onboarding policies and procedures to ensure they adequately address anti-money laundering risks. How should customer due diligence be implemented?

  1. With an annual compliance review and approval of customers
  2. With a one-time event conducted at initial customer onboarding
  3. As an ongoing activity that may vary commensurate with the risk profile of the customer
  4. As applicable to customers that pose higher money laundering or terrorist financing risk

Question 84

A bank compliance officer discovers cash deposit activity inconsistent with the expected and historical cash activity within the personal accounts of the chairman of the board. The cash activity appears structured to avoid the local legal filing requirements for large cash transactions, and a suspicious transaction report (STR) was filed. How should the compliance officer report the filing of the STR to the board of directors without revealing the existence of the filing to the subject?

  1. Inform the legal counsel of the bank
  2. Follow the financial institution's established STR reporting policy
  3. Notify the financial institution's regulator to disclose the activity
  4. The compliance officer and the chief executive officer should jointly interview the chairman

Question 85

Under which two circumstances may law enforcement be given access to a financial institution customer's financial records? (Choose two.)

  1. If the person is named in a suspicious transaction report
  2. If law enforcement serves a legal summons or subpoena
  3. If the investigation of a customer is made public in the media
  4. If law enforcement has circumstantial evidence to suspect money laundering