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ACFE Certified Fraud Examiner (CFE) - Fraud Investigations and Legal Issues Sample Questions:
1. An attorney is advising her corporate client about a contemplated lawsuit against former employees. The attorney hires a forensic accountant to assist her and the client. To facilitate the forensic accountant's assistance, the attorney emails them a copy of a memorandum protected by a legal professional privilege.
Which of the following statements is MOST ACCURATE?
A) The attorney waived the privilege because she sent the protected information to a third party before the lawsuit was filed.
B) The attorney waived the privilege because she transmitted the protected information to a third party.
C) The attorney did not waive the privilege because the legal professional privilege cannot be waived by an attorney.
D) The attorney did not waive the privilege because the attorney hired the forensic accountant to work on the case.
2. Jukka, an employee of QRS Inc., is being investigated for fraud and is interviewed by an internal investigator.
After the interview, Jukka feels so distressed that she decides to sue for intentional infliction of emotional distress. Which of the following elements must be proven for Jukka to recover damages under this claim?
A) The investigator owed the victim a duty of care.
B) The investigator intended for their conduct to cause the victim distress.
C) The victim's distress caused them to suffer reputational damage.
D) The victim's distress occurred for at least two years.
3. In a particular country ' s judicial process, the judge oversees the investigation of a case is primarily responsible for questioning witnesses and generally plays a larger role in the evidence-gathering process than the parties ' legal counsel Which of the following BEST describes this type of judicial process ' ?
A) Adversarial process
B) Inquisitorial process
C) Common law process
D) Substantive law process
4. Emily, a fraud examiner, is tasked with collecting evidence of a payroll fraud scheme through a digital forensic investigation. Which of the following best practices should Emily follow during the analysis phase?
A) Emily should use a single tool to identify, extract, and collect digital evidence because using multiple tools could skew her results.
B) Emily should prioritize locating exculpatory evidence over inculpatory evidence when analyzing the collected data.
C) Emily should ensure that she uses a specific type of software to ensure that she is able to fully recover all data.
D) Emily should be primarily concerned with maintaining the integrity of the data when analyzing digital evidence.
5. The concealment of assets occurs most commonly in which of the following types of fraud schemes?
A) Income smoothing
B) Payroll fraud
C) Fictitious revenues
D) Bankruptcy fraud
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: B | Question # 3 Answer: A | Question # 4 Answer: D | Question # 5 Answer: D |
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