Which of the following is the MOST ACCURATE statement about how fraud examiners should approach fraud examinations?

1. A. When conducting fraud examinations, fraud examiners should adhere to the me an sand-ends approach
2. B. In most examinations fraud examiners should interview those who are more involved in the matters at issue before interviewing those who are less involved.
3. C. When conducting fraud examinations fraud examiners should operate under the assumption that the subjects are guilty
4. D. Fraud examinations should begin with general information that is known, starting at the periphery, and then move to the more specific details.

Correct Answer: D

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

1. A. Digital evidence a more volatile than tangible evidence because digital evidence is subject to claims of spoliation, whereas tangible evidence is not.
2. B. Digital evidence is more volatile than tangible evidence because digital data can be altered or destroyed more easily than tangible information
3. C. The failure to preserve the integrity of digital evidence will not affect its admissibility in a legal proceeding
4. D. If the integrity of digital evidence is violated It can be easily restored using widely available data restoration programs

Correct Answer: C

Mary the payroll manager at Reed Co, suspects that there might be a ghost employee scheme occurring. She wants to ensure no two employees on the payroll have the same government Identification number. Which of the following data analysis functions would be most useful for this test?

1. A. Benford's Law analysis
2. B. Linear regression
3. C. Duplicate search
4. D. Correlation analysis

Correct Answer: C

Barnes a Certified Fraud Examiner (CFE) is using data analysis to identity anomalies that might indicate fraud In XYZ Company's accounts payable transactions. Which of the following is the most effective data analysis function that Barnes could use to look for potential fraud in accounts payable?

1. A. Identify paycheck amounts over a certain limit
2. B. Review recurring monthly expenses and compare to posted/paid invoices
3. C. Compare book and tax deprecation and indicate variances
4. D. Al of the above

Correct Answer: D

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

1. A. A general estimate of the amount of money invoked
2. B. A statement from Naveed that his conduct was an accident
3. C. The approximate number of instances
4. D. The location of any residual assets

Correct Answer: B