FORENSIC ACCOUNTING UPDATED 2026
EXAMINERS SET QUESTIONS AND ANSWERS
SURE A+
✔✔The IRS has jurisdiction to investigate only tax evasion cases (T/F) - ✔✔False
✔✔How many hours of accounting does one need to apply to be IRS special agent? -
✔✔15
✔✔In the federal government, only the mother gets 12 weeks of paid maternity leave
(T/F) - ✔✔False
✔✔IRS Agents have unlimited discretion to use an indirect method to determine
unreported inocme (T/F) - ✔✔False
✔✔A taxpayer has the burden of proving the existence of a cash board (T/F) - ✔✔True
✔✔IRS agents often use the expenditure approach when a taxpayer is purchasing
assets or investments, rather than spending it lavishly (T/F) - ✔✔False
, ✔✔One can be convicted of money laundering for laundering money represented to be
the proceeds from a specified unlawful activity, even if the funds are not actually
proceeds from a specified unlawful activity (T/F) - ✔✔True
✔✔The direct method should be used when a taxpayer has inadequate books and
records (T/F) - ✔✔False
✔✔Which of the existing federal statutes for charging money laundering is easier to
prove - ✔✔Title 18, USC section 1957
✔✔All money laundering techniques have the overall objective to disguise the origin of
the funds (T/F) - ✔✔true
✔✔A number of universities were caught illegally using money laundering techniques to
convert federal grant monies into discretionary spending. (T/F) - ✔✔False (unethical,
not illegal)
✔✔The US department of the treasure requires banks to file currency transaction
reports (CTRs) about transactions above $5000 and suspicious activity reports (SAR's)
for transactions noticed by bank personnel (T/F) - ✔✔False (10,000 not 5,000)
✔✔Smurfing is a money laundering technique in which confederates of the money
launderer deposit random amounts of less than $10k into variously named accounts at
a number of different banks (T/F) - ✔✔True
✔✔A first step in a money launder operation is to: - ✔✔Deposit illegal money into the
banking system.
✔✔To avoid detection by law enforcement authorities, money launderers will only send
a maximum money transfer that is: - ✔✔$10,000 or less
✔✔Title III of the USA Patriot act of 2001 amended statutes - ✔✔Bank secrecy act of
1970 and Money Laundering Control Act of 1986
✔✔In the money laundering process, layering is: - ✔✔Transferring monies from one
bank account to another
✔✔In money laundering "structuring" can refer to the process of: - ✔✔Sequencing a
series of cash withdrawals that fall below the $10,000 criteria to trick a financial
institution into not reporting the withdrawals to the federal authorities
EXAMINERS SET QUESTIONS AND ANSWERS
SURE A+
✔✔The IRS has jurisdiction to investigate only tax evasion cases (T/F) - ✔✔False
✔✔How many hours of accounting does one need to apply to be IRS special agent? -
✔✔15
✔✔In the federal government, only the mother gets 12 weeks of paid maternity leave
(T/F) - ✔✔False
✔✔IRS Agents have unlimited discretion to use an indirect method to determine
unreported inocme (T/F) - ✔✔False
✔✔A taxpayer has the burden of proving the existence of a cash board (T/F) - ✔✔True
✔✔IRS agents often use the expenditure approach when a taxpayer is purchasing
assets or investments, rather than spending it lavishly (T/F) - ✔✔False
, ✔✔One can be convicted of money laundering for laundering money represented to be
the proceeds from a specified unlawful activity, even if the funds are not actually
proceeds from a specified unlawful activity (T/F) - ✔✔True
✔✔The direct method should be used when a taxpayer has inadequate books and
records (T/F) - ✔✔False
✔✔Which of the existing federal statutes for charging money laundering is easier to
prove - ✔✔Title 18, USC section 1957
✔✔All money laundering techniques have the overall objective to disguise the origin of
the funds (T/F) - ✔✔true
✔✔A number of universities were caught illegally using money laundering techniques to
convert federal grant monies into discretionary spending. (T/F) - ✔✔False (unethical,
not illegal)
✔✔The US department of the treasure requires banks to file currency transaction
reports (CTRs) about transactions above $5000 and suspicious activity reports (SAR's)
for transactions noticed by bank personnel (T/F) - ✔✔False (10,000 not 5,000)
✔✔Smurfing is a money laundering technique in which confederates of the money
launderer deposit random amounts of less than $10k into variously named accounts at
a number of different banks (T/F) - ✔✔True
✔✔A first step in a money launder operation is to: - ✔✔Deposit illegal money into the
banking system.
✔✔To avoid detection by law enforcement authorities, money launderers will only send
a maximum money transfer that is: - ✔✔$10,000 or less
✔✔Title III of the USA Patriot act of 2001 amended statutes - ✔✔Bank secrecy act of
1970 and Money Laundering Control Act of 1986
✔✔In the money laundering process, layering is: - ✔✔Transferring monies from one
bank account to another
✔✔In money laundering "structuring" can refer to the process of: - ✔✔Sequencing a
series of cash withdrawals that fall below the $10,000 criteria to trick a financial
institution into not reporting the withdrawals to the federal authorities
