ACFE CFE-Investigation Exam Practice Test Instant Access

Question 1

Due to risks of illicit transactions, most jurisdictions require financial institutions to obtain information about which of the following from an institution with which they have a foreign correspondent relationship?

AThe institution's branch addresses

BThe institution's licenses or certifications

CThe institution's tax statements

DThe institution's client loan profiles

Answer : A

Question 2

Which of the following BEST describes the data analytics approach known as predictive analytics?

AThe configuration of a business program to emulate and Integrate the actions of a human to execute certain business processes, thus increasing efficiency and automating repetitive manual tasks

BThe use of historical data, along with analyses, statistics, and machine learning components, to build a mathematical model that captures important trends and creates a quantitative forecast

CThe employment of computer systems to perform human-like tasks such as visual perception and decision-making

DThe use of layered artificial neural networks to accommodate more data and more sophisticated algorithms to identify complex patterns

Answer : B

Question 3

Which of the following is a recommended strategy when conducting admission-seeking interviews?

AIncrease sympathy while downplaying implications of wrongdoing.

BEnsure that accusations are made in the presence of a third party to avoid potential liability

CEmphasize a lack of morality in the subject's actions to induce them into confessing.

DUse time constraints as a means to pressure the subject into making a confession.

Answer : A

Question 4

A fraud examiner contacts a witness regarding an interview. If the respondent says. 'I'm too busy." how should the fraud examiner react?

AExplain that the respondent will be subject to discipline if they do not participate

BStress that the interview will be short.

CCaution the witness that avoidance of the interview will be considered suspicious.

DInquire about a more convenient time

Answer : B

Question 5

Boyd, a Certified Fraud Examiner (CFE). was hired to trace Lottie's financial transactions. During his investigation. Boyd obtains records of electronic payments that Lottie made during the past five years. Which of the following are these records MOST LIKELY to reveal?

AThe market value of any real property Lottie owns

BThe assets that Lottie has purchased

CThe division and distribution of Lottie's assets

DIf Lottie is skimming her employer's funds

Answer : B

Question 6

Which of the following is NOT an advantage to using link analysis in a fraud investigation?

ALink analysis visually displays financial ratio analysis

BLink analysis is an affective tool to demonstrate complex networks

CLink analysis helps identify indirect relationships with several degrees of separation.

DLink analysis allows the investigator to discover patterns in data.

Answer : A

Question 7

Barnes, a Certified Fraud Examiner (CFE). is using data analysis to identify 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?

ACompare book and tax depreciation and indicate variances

BIdentify paycheck amounts over a certain limit

CReview recurring monthly expenses and compare to posted/paid invoices

DAll of the above

Answer : C

ACFE CFE-Investigation Certified Fraud Examiner - Investigation Exam Practice Test