CSI Loss Prevention & Asset Protection

Question 1

What is the primary goal of a retail loss prevention program?

Accepted Answer

Reducing inventory shrinkage and protecting company assets

Answer

Maximizing employee productivity

Answer

Increasing customer satisfaction scores

Answer

Expanding surveillance camera coverage

Question 2

In loss prevention terminology, what does 'shrinkage' refer to?

Accepted Answer

Inventory loss from theft, fraud, administrative error, or vendor fraud

Answer

Reduction in store size due to remodeling

Answer

Decrease in customer foot traffic

Answer

Reduction in employee headcount

Question 3

Which of the following best describes 'exception-based reporting' (EBR) in loss prevention?

Accepted Answer

Software that flags POS transactions deviating from expected patterns

Answer

Filing incident reports for all security events

Answer

A method for documenting employee disciplinary actions

Answer

A system for tracking customer complaints

Question 4

When a loss prevention officer detains a shoplifting suspect, which action is legally required in most U.S. jurisdictions under the merchant privilege doctrine?

Accepted Answer

The officer must have probable cause and detain only for a reasonable time

Answer

The officer must have a signed confession before detention

Answer

The officer must wait for law enforcement to arrive before approaching the suspect

Answer

The officer must have video evidence from at least two camera angles

Question 5

Which inventory control technique involves counting all stock at one time to reconcile records with physical inventory?

Accepted Answer

Full physical inventory count

Answer

Cycle counting

Answer

Perpetual inventory tracking

Answer

ABC analysis

Question 6

An employee accepts returned merchandise that was never purchased at that store in exchange for store credit. This is an example of:

Accepted Answer

Return fraud

Answer

Sweethearting

Answer

Wardrobing

Answer

Skimming

Question 7

What is the most effective deterrent against shoplifting at the point of entry in a retail store?

Accepted Answer

Visible presence of uniformed loss prevention personnel or security officers

Answer

Installing hidden cameras only

Answer

Reducing the number of store entry points

Answer

Posting warning signs about shoplifting penalties