CFE - Investigation

CFE - Investigation practice questions, page 3 of 7, with answer review and explanations.

Question 11

Which of the following statements concerning access to nonpublic records is FALSE?

  1. During the government’s criminal investigation, a fraud examiner not employed by the government has a right to access relevant documents that the government has obtained.
  2. An audit clause can be designed to allow a party to inspect the books of a business partner or vendor.
  3. A fraud examiner can request a business’s bank records even if the business is not legally obligated to comply.
  4. When civil litigation has commenced, a party may often a subpoena or legal order for an individual’s relevant bank records.

Question 12

If your suspect is spending suspected illicit funds on consumables (e.g., travel and entertainment) and you need to prove their illicit income circumstantially, which of the following methods of tracing assets would yield the BEST result?

  1. The asset method
  2. The income method
  3. The expenditures method
  4. The consumables method

Question 13

Which of the following statements about how fraud examiners should approach fraud examinations is FALSE?

  1. When conducting fraud examinations, fraud examiners should start with specific details and move toward more general information.
  2. When conducting fraud examinations, fraud examiners should begin with general information that is known and then move to the more specific details.
  3. When conducting fraud examinations, fraud examiners should adhere to the fraud theory approach.
  4. In most examinations, fraud examiners should start interviewing the least involved candidates and proceed toward those who are potentially more involved.

Question 14

Which of the following would be most useful in determining who created a specific document file?

  1. The document’s metadata
  2. The system log
  3. Operating system partition
  4. Internet activity data

Question 15

Which of the following is considered a best practice for preserving the confidentiality of a fraud investigation?

  1. Implement a blanket policy prohibiting all employees from discussing anything related to employee investigations.
  2. Suspend all employees involved in the investigation pending the investigation’s outcome.
  3. Ensure that the investigation is conducted at the direction of, or under the supervision of, a government official.
  4. Avoid using email or other electronic means to transmit confidential case information.