- CFA Exams
- CFA Level I Exam
- Topic 10. Ethical and Professional Standards
- Learning Module 71. Guidance for Standards I-VII
- Subject 4. Standard I (D) Misconduct
CFA Practice Question
Cam Bourque, CFA, and Grace Lee work for 21 Century Investment, where Lee reports to Bourque on a daily basis, working in the same department. It has come to the attention of Bourque that Lee received a Notice of Enquiry from the Professional Conduct Program at the CFA Institute regarding a potential cheating violation when she sat for the CFA exam in June. As Lee's supervisor, Bourque is afraidLee's behavior will be seen as a violation of the CFA Code and Standards. Does Bourque have cause for concern?
A. Yes
B. No, because her responsibilities do not apply.
C. No, not until Lee is found guilty of cheating.
Explanation: A supervisor's responsibilities relate to detecting and preventing violations by anyone subject to their supervision or authority regarding activities they supervise. Bourque had no way of detecting and/or preventing Lee from cheating during the CFA exam, an event she did not attend.
User Contributed Comments 6
| User | Comment |
|---|---|
| LyncKidd | I'd be concerned about the integrity of the employee. If they cheated that, maybe they thought they'd get away with insider trading or accepting perks under the desk. I guess I overthought this. |
| gerdvar | Went to the same chain of though than you, I guess questions aren't suppossd to overreach in some cases |
| Bewitcher | Exactly my thoughts - is that overthinking? I strongly doubt that - i'm pissed |
| GeorgeM | That's an incredibly serious accusation to not have any concerns over. |
| Kiniry | So I guess that this question is asking if Bourque should be concerned that SHE has violated the Code and Standards. But the wording makes it seem like she should be concerned that Lee has violated the standards. |
| b25331 | the other cop is on the case...why bother answer: B |