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CFE-Investigation Practice Questions

Certified Fraud Examiner (CFE) - Investigation

Last Update 2 days ago
Total Questions : 181

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Question # 21

Which of the following is the MOST ACCURATE statement regarding a fraud examiner's ability to trace cryptocurrency transactions?

Options:

A.  

Each Blockchain transaction contains a user's cryptographic address, which can help identify patterns that might link the user to criminal activity.

B.  

Most jurisdictions do not require digital wallet providers to record any personal information about cryptocurrency users

C.  

Cryptocurrency ownership cannot be determined through an analysis of details on a subject's bank statements.

D.  

Most cryptocurrencies rely on private block chains, which allow users' transactions to be completely anonymous and therefore difficult to trace.

Discussion 0
Question # 22

Which of the following is NOT one of the main limitations of conducting a search for public records using online databases?

Options:

A.  

Online public records searches are limited in the jurisdictions they cover.

B.  

Public records database companies are difficult to find.

C.  

Online coverage of public records varies widely from jurisdiction to jurisdiction

D.  

The timeliness and accuracy of information in online databases must be validated

Discussion 0
Question # 23

Jana. the controller of XYZ Company, notices that the company's hotel expenses increased substantially from the prior year She wants to check to see if this increase is reasonable by comparing hotel expenses from both years to the number of days XYZ"s employees traveled. Which of the following data analysis functions would be the MOST USEFUL in helping Jana analyze these two variables?

Options:

A.  

Correlation analysis

B.  

Duplicate testing

C.  

Verifying multiples of a number

D.  

Ben ford’s Law analysis

Discussion 0
Question # 24

Rachel, a fraud suspect, has decided to confess to Linda, a Certified Fraud Examiner (CFE). In obtaining a verbal confession from Rachel. Linda should obtain all of the following items of information EXCEPT:

Options:

A.  

The approximate beginning and end dates of the fraud

B.  

A statement from Rachel that her conduct was an accident

C.  

A general estimate of the amount of money involved

D.  

Rachel's motive for the offense

Discussion 0
Question # 25

Which of the following data analysis functions is used to determine whether company policies are met by employee transactions, such as verifying that traveling employees book their accommodations at approved hotels?

Options:

A.  

The correlation analysis function

B.  

The Join function

C.  

The gap testing function

D.  

The compliance verification function

Discussion 0
Question # 26

When planning for the interview phase of an investigation, which of the following steps should NOT be taken by the fraud examiner?

Options:

A.  

Consider what the interview is intended to accomplish and state an objective.

B.  

Review the case file to ensure that important information has not been overlooked

C.  

Prepare a detailed list of questions to ask the subject during the interview.

D.  

Ensure that the interview is held in a venue where the subject will feel Uncomfortable

Discussion 0
Question # 27

Why is it necessary to image a seized computer's hard drive for forensic analysis?

Options:

A.  

To prohibit access to the suspect computer's hard drive by individuals not professionally trained in forensic analysis

B.  

To allow for the analysis of data from a suspect computer without altering or damaging the original data in any way

C.  

To create pictures of the suspect computer system and its wires and cables

D.  

To enable the retrieval of data from the suspect computer directly via its operating system

Discussion 0
Question # 28

Which of the following is the MOST APPROPRIATE measure when seeking to avoid alerting suspected perpetrators who are under investigation?

Options:

A.  

Terminate the suspected employee.

B.  

Delay taking any action.

C.  

Investigate during nonbusiness hours.

D.  

Disclose the investigation to all employees

Discussion 0
Question # 29

Which of the following is the MOST ACCURATE statement regarding a fraud examiner’s ability to trace cryptocurrency transactions?

Options:

A.  

Information about cryptocurrency ownership can sometimes be revealed by analyzing a subject’s bank statements.

B.  

Each blockchain transaction contains direct identifying information that can be used to find cryptocurrency users.

C.  

Most jurisdictions do not require digital wallet providers to record any personal information about cryptocurrency users.

D.  

Most cryptocurrencies rely on private blockchains, which require court orders to obtain transaction information.

Discussion 0
Question # 30

When a fraud examiner is conducting an examination and is in the process of collecting documents, the fraud examiner should:

Options:

A.  

Dust all physical key documents for fingerprints

B.  

Establish a document database early in the investigation

C.  

Make copies of originals and leave the originals where they were found

D.  

Organize all the documents obtained in chronological order

Discussion 0
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