CFE-INVESTIGATION Online Practice Questions and Answers

Which of the following is NOT a common use of public sources of information?

A. Obtaining an individual's credit records

B. Finding out about a person's lifestyle

C. Developing background information on a subject

D. Corroborating or refuting witness statements

Which of the following is the MOST ACCURATE statement concerning the volatility, of digital evidence?

A. Digital evidence a more volatile than tangible evidence because digital evidence is subject to claims of spoliation, whereas tangible evidence is not.

B. Digital evidence is more volatile than tangible evidence because digital data can be altered or destroyed more easily than tangible information

C. The failure to preserve the integrity of digital evidence will not affect its admissibility in a legal

D. If the integrity of digital evidence is violated It can be easily restored using widely available data restoration programs

Beta, a Certified Fraud Examiner (CFE) is conducting an admission-seeking interview of Delta, a fraud

suspect. In establishing a rationalization, Beta said to Delta 'I know you didn't do this for yourself; It was for

your family. "

This technique seeks to establish rationalization by:

A. Establishing that Delta's family was being treated unfairly

B. Reducing Deltas perception of the legal seriousness of the matter

C. Reducing Deltas stress about possibly being fired

D. Claiming Delta s action was for altruistic reasons

Which of the following is a reason why a person or organization might engage a fraud examiner to trace illicit transactions?

A. An attorney wants to evaluate an experts financial report.

B. An employer wants to know If an employee is falsifying regulatory reports.

C. A victim of fraud wants to facilitate the recovery of criminal proceeds

D. An entity needs to find hidden relationships In big data that otherwise would not be discovered

Which of the following is NOT a step a fraud examiner must take before seizing evidence in a digital forensic investigation?

A. Obtain and become familiar with any applicable legal orders.

B. Determine whether there ate privacy issues related to the items(s) to be searched.

C. Ensure that any software used in a forensic capacity is legitimate.

D. Assemble an investigation team comprised only of outside digital forensic experts.

Baker, a Certified Fraud Examiner (CFE), is assigned to the internal audit department of the ABC Company. He is getting ready to conduct an interview with another company employee who might be Involved In a fraud. In general what we should Baker use in the introduction to the employee?

A. Investigator

B. Auditor

C. Baker should omit a title altogether

D. Certified Fraud Examiner

Which of the following can constitute a bribe, even if the illicit payment is never actually made?

A. Offering a payment

B. Corruption in payment

C. kickback payment

D. Overbilling in payment

Which of the following is a recommended strategy when conducting admission-seeking interviews?

A. Emphasize a lack of morality in the subject's actions to induce them into confessing.

B. Increase sympathy while downplaying Implications of wrongdoing.

C. Ensure that accusations a are made in the presence of a third party to avoid potential liability.

D. Use time constraints as a means to pressure the subject Into making a confession.

A fraud examiner suspects that an employee who is tasked with meeting new customers over business dinners to discuss their accounts is using those meetings to proposition the customers and steal business from the employee's company. If the fraud examiner wanted to pose as a new customer and meet with the employee, which of the following would beet describe the fraud examiner's method?

A. An undercover operation

B. An entrapment operation

C. A surveillance operation

D. A source operation

Max The controller of XYZ Company, noticed that the company's hotel expenses increased substantially from the prior year. He wants to check to see if this is reasonable by comparing hotel expenses from both years to the number to that XYZ's employees traveled. Which of the following date analysis function would be the most useful In helping Max analyze these two variables?

A. Benford's Law analysts

B. Verifying mutinies of a number

C. Duplicate testing

D. Correlation analysis