Fraud Examination - Multiple Choice
Study questions & answers
Which of the following is not a category used in the fraud triangle plus inquiry paradigm?
a) theft investigative techniques
b) concealment investigative techniques
c) action investigative techniques
d) conversion investigative techniques - ANS ✔✔c) action investigative techniques
When beginning an investigation, it is important that fraud examiners use techniques that will:
a) not arouse suspicion
b) identify the perpetrator
c) determine the amount of the fraud
d) identify when the fraud occurred - ANS ✔✔a) not arouse suspicion
When conducting interviews during an investigation, which of the following words should
usually be avoided? - ANS ✔✔c) investigation
When beginning a fraud investigation, which of the following methods is most useful in
identifying possible suspects?
a) preparing an identification chart
b) preparing a vulnerability chart
c) preparing a surveillance log
d) hiring a PI to tail the subject - ANS ✔✔b) preparing a vulnerability chart
,Invigilation:
a) is most commonly used when investigating crimes that involve taking of physical assets
b) can create tremendous amounts of documentary evidence
c) provides evidence to help determine whether fraud is occurring
d) all of the above - ANS ✔✔c) provide evidence to help determine whether fraud is occuring
Which of the following is not a theft investigation method?
a) invigilation
b) honesty testing
c) seizing and searching computers
d) surveillance and covert operations - ANS ✔✔b) honesty testing
When deciding whether or not to investigate, which of the following factors should an
organization not consider?
a) possible cost of the investigation
b) perceived strength of the predication
c) possible public exposure resulting because of the investigation
d) all of the above - ANS ✔✔d) all of the above should be considered
Surveillance, when properly perform, is always done:
a) without the perpetrator's knowledge
b) during nonworking hours
c) only by law enforcement agents
d) none - ANS ✔✔a) without the perpetrator's knowledge
Which of the following is not included in vulnerability chart?
, a) explanations of the fraud triangle in relation to suspects of fraud
b) breakdowns in key internal controls that may have created fraud opportunities
c) internal controls that a company plans to institute in the future
d) theft act investigation methods - ANS ✔✔c) internal controls that a company plans to
institute in the future
A vulnerability chart:
a) forces investigators to explicitly consider all aspects of fraud
b) shows the history of fraud in a company
c) identifies weaknesses in every aspect of a company's internal control
d) gives a detailed record of all the movements and activities of the suspect - ANS ✔✔a) forces
investigators to explicitly consider all aspects of fraud
Fixed point, or stationary observations can be conducted by:
a) certified fraud examiners
b) company personnel
c) private investigators
d) anyone, if conducted properly - ANS ✔✔d) anyone, if conducted properly
Surveillance logs should include all of the following except:
a) time the observation began and ended
b) cost of the surveillance equipment used
c) movements and activities of the suspect
d) distance the observation was fro the scene - ANS ✔✔b) cost of the surveillance equipment
used
Wiretapping, a form of electronic surveillance, can usually be legally used by:
Study questions & answers
Which of the following is not a category used in the fraud triangle plus inquiry paradigm?
a) theft investigative techniques
b) concealment investigative techniques
c) action investigative techniques
d) conversion investigative techniques - ANS ✔✔c) action investigative techniques
When beginning an investigation, it is important that fraud examiners use techniques that will:
a) not arouse suspicion
b) identify the perpetrator
c) determine the amount of the fraud
d) identify when the fraud occurred - ANS ✔✔a) not arouse suspicion
When conducting interviews during an investigation, which of the following words should
usually be avoided? - ANS ✔✔c) investigation
When beginning a fraud investigation, which of the following methods is most useful in
identifying possible suspects?
a) preparing an identification chart
b) preparing a vulnerability chart
c) preparing a surveillance log
d) hiring a PI to tail the subject - ANS ✔✔b) preparing a vulnerability chart
,Invigilation:
a) is most commonly used when investigating crimes that involve taking of physical assets
b) can create tremendous amounts of documentary evidence
c) provides evidence to help determine whether fraud is occurring
d) all of the above - ANS ✔✔c) provide evidence to help determine whether fraud is occuring
Which of the following is not a theft investigation method?
a) invigilation
b) honesty testing
c) seizing and searching computers
d) surveillance and covert operations - ANS ✔✔b) honesty testing
When deciding whether or not to investigate, which of the following factors should an
organization not consider?
a) possible cost of the investigation
b) perceived strength of the predication
c) possible public exposure resulting because of the investigation
d) all of the above - ANS ✔✔d) all of the above should be considered
Surveillance, when properly perform, is always done:
a) without the perpetrator's knowledge
b) during nonworking hours
c) only by law enforcement agents
d) none - ANS ✔✔a) without the perpetrator's knowledge
Which of the following is not included in vulnerability chart?
, a) explanations of the fraud triangle in relation to suspects of fraud
b) breakdowns in key internal controls that may have created fraud opportunities
c) internal controls that a company plans to institute in the future
d) theft act investigation methods - ANS ✔✔c) internal controls that a company plans to
institute in the future
A vulnerability chart:
a) forces investigators to explicitly consider all aspects of fraud
b) shows the history of fraud in a company
c) identifies weaknesses in every aspect of a company's internal control
d) gives a detailed record of all the movements and activities of the suspect - ANS ✔✔a) forces
investigators to explicitly consider all aspects of fraud
Fixed point, or stationary observations can be conducted by:
a) certified fraud examiners
b) company personnel
c) private investigators
d) anyone, if conducted properly - ANS ✔✔d) anyone, if conducted properly
Surveillance logs should include all of the following except:
a) time the observation began and ended
b) cost of the surveillance equipment used
c) movements and activities of the suspect
d) distance the observation was fro the scene - ANS ✔✔b) cost of the surveillance equipment
used
Wiretapping, a form of electronic surveillance, can usually be legally used by:
