Investigations

Question 1

Prior to conducting an interview, an investigator should prepare a thorough list of questions to ensure that the interview is well structured and that no predetermined lines of inquiry are forgotten. True or False

Answer 1

False, Whenever possible, do not prepare a list of predetermined questions to ask the subject. The interview should flow freely. The interviewer might, however, want to develop a list of key points to cover during the interview.

Question 2

When confessing to fraud, suspects tend to provide accurate details on the amount of funds involved and number of instances to relieve themselves of the guilt of their dishonest actions. True or False

Answer 2

False, This is probably because of the human mind’s natural tendency to suppress unpleasant matters.

Question 3

With cloud computing, clients of cloud service providers do not have physical control of the media or the network on which their data reside, which can complicate digital forensic investigations in cloud environments. True or False

Answer 3

True, clients of cloud service providers do not have physical control of the media or the network on which their data reside.

Question 4

In admission-seeking interviews, an innocent person often reacts differently to the initial accusation than a culpable person. Which of the following reactions to the initial accusation is common to an innocent person?

1. Strong Denials
2. Weak Denials
3. Mumbled Denials
4. Silence

Answer 4

Strong Denials.

Question 5

When accused of wrongdoing, the typical guilty person reacts in which of the following ways

1. Strong Denials
2. Crying
3. Weak Denials
4. Laughing

Answer 5

Silence

Question 6

Which tactic is normally used to diffuse alibis

1. Present all implicating evidence at once
2. Reveal small portions incrementally

Answer 6

Reveal small portions incrementally

Question 7

Which type of question is used to establish the respondent’s credibility?
A. Leading
B. Closed
C. Assessment 
D. Open

Answer 7

Assessment, Assessment questions seek to establish the respondent’s credibility. They are used only when the interviewer considers previous statements by the respondent to be inconsistent because of possible deception. When evaluating a subject’s response to an assessment question for credibility, it is critical to observe both verbal and nonverbal reactions.

Question 8

Simone, a manager at a major company, is suspected of financial statement fraud. During an admission-seeking interview with Simone, the investigator states, “A lot of employees count on the company doing well. I know you only did this to help the company succeed. Isn’t that right?” This technique is known as:

1. Extrinsic Rewards
2. Genuine need
3. Depersonalizing the victim
4. Altruism

Answer 8

Altruism, the interviewer should try to convince the respondent that confessing is the most advantageous option available. To do this, the interviewer must offer a morally acceptable reason that allows the accused to confess to a misdeed without feeling ashamed. In many cases,

Question 9

Simone, a manager at a major company, is suspected of financial statement fraud. During an admission-seeking interview with Simone, the investigator states, “A lot of employees count on the company doing well. I know you only did this to help the company succeed. Isn’t that right?” This technique is known as:

1. Extrinsic Rewards
2. Genuine need
3. Depersonalizing the victim
4. Altruism

Answer 9

Altruism, the interviewer should try to convince the respondent that confessing is the most advantageous option available. To do this, the interviewer must offer a morally acceptable reason that allows the accused to confess to a misdeed without feeling ashamed. In many cases,

Question 10

Credit card records and statements pertaining to a subject can provide insight into the subject’s movements and habits, but they do not reveal people with whom the subject does business. True or False

Answer 10

True

Question 11

Generally, the rules of admissibility for digital evidence are stricter than such rules for tangible evidence. True or False

Answer 11

False, Although digital evidence is different from—and more volatile than—tangible evidence, the rules regarding the admissibility of digital evidence in court are really no different from the rules regarding the admissibility of any other type of evidence.

Question 12

Pam, a Certified Fraud Examiner (CFE), is conducting an admission-seeking interview of Luca, a fraud suspect. Luca has decided to confess. How should Pam go about getting all the relevant information?
A. Obtain the details in reverse chronological order
B. Obtain the details in order of relevance
C. Get the general information and then move to the specifics
D. None of the above

Answer 12

Get the general information and then move to the specific, During the admission-seeking interview, it is best to first confirm the general details of the offense. For example, the interviewer will want the accused to provide estimates of the amounts involved, name other parties involved in the offense, and give the location of physical evidence. After obtaining these basic facts, the interviewer can return to the specifics, in chronological order.

Question 13

Which of the following statements about electronically recording interviews is MOST ACCURATE?

1. They distract subjects and inhibit response
2. No jurisdiction prohibits
3. Examiners are permited to covertly record

Answer 13

Distract subjects and inhibit response

Question 14

Which of the following is an appropriate moral excuse clause to include in a signed confession?

1. I didn’t know it was illegal
2. I didn’t do it on purpose
3. I didn’t mean to do it
4. I didn’t mean to hurt anyone

Answer 14

I didn’t mean to hurt anyone, The signed statement should include the confessor’s moral excuse, but the fraud examiner should ensure that the wording of the excuse clause does not diminish legal responsibility. Instead of using language like “I didn’t mean to do it,” which implies lack of intent, the interviewer should focus on an excuse that provides only a moral explanation for the misconduct.

Question 15

To better prepare for the possibility that interview records will be subpoenaed, fraud examiners should document their notes for each interview separately, even when documenting electronic recordings. True or False

Answer 15

True, When taking notes, fraud examiners should follow a few basic rules. First, the interview notes for each interview should be recorded on a separate document. This can be especially helpful if documents from a particular interview are subpoenae

Question 16

Beth, a Certified Fraud Examiner (CFE), is conducting a routine interview of someone who does not know her. In such situations, it is usually best for Beth to omit her title when introducing herself.

Answer 16

True, Beth must introduce herself before the interview commences. Generally, an interviewer should indicate their name and company, but they should avoid stating their title if possible. In some instances, the interviewer cannot avoid giving their title, and in such cases, the interviewer should use a title that will not conjure up emotions or possible fear in the respondent’s mind.

Question 17

Jayna, an employee at a retail store, is accused of skimming money from the register. During an admission-seeking interview with Jayna, the investigator states, "This is a huge corporation with more than a hundred stores, so it’s not like a few dollars here and there is going to affect anyone personally. Is that how you saw it?" This technique is known as:
A. Unfair Treatment
B. Extrinsic Rewards
C. Depersonalizing the victim
D. Genuine Need

Answer 17

Depersonalizing the victim,

Question 18

When seizing a running computer for forensic examination, the seizing party should perform a graceful shutdown by turning the computer off using the normal shutdown process. True or False

Answer 18

False, When seizing a computer that is running, the seizing party should not perform a graceful shutdown by turning it off using the normal shutdown process. If a system is turned off using normal shutdown routines, a number of temporary files will be deleted and possibly overwritten during the shutdown process, and such files might be important to the investigation.

Question 19

Ashton, a digital forensic examiner for Cadence Irrigation, is conducting an internal investigation into the alleged theft of trade secrets from Cadence. Kirby, a Cadence employee, is the prime suspect. Ashton decides to seize Kirby’s work computer for forensic examination. If, at the time of seizure, Kirby’s computer is turned off, Ashton should turn it on before seizing it.. True or False

Answer 19

False, A computer system that is switched off should not be turned on during the seizure process. Turning a system on might damage and taint any evidence that it contains.

Question 20

Christie is undertaking a data analysis engagement to identify potential fraud at XYZ Corporation. Which of the following lists the MOST appropriate order in which she should conduct the steps involved in the data analysis process?
I. Cleanse and normalize the data.
II. Build a profile of potential frauds.
III. Analyze the data.
IV. Obtain the data.
V. Monitor the data.

Answer 20

II,IV,I,III,V

Question 21

Which of the following is a limitation of Benford’s Law?
A. Only works on data sets with assigned numbers
B. Applied best on data sets with 3 digit numbers
C. Cannot be applied to data sets with non natural numbers such as check or invoice numbers
D. Can only be applied to data sets with currency numbers

Answer 21

C. Cannot be applied to data sets with non natural numbers such as check or invoice numbers

Question 22

Which of the following functions does a Benford’s Law analysis help to achieve?
A. Identifying fictitious numbers
B. Identifying duplicate payments
C. Extracting usable information from unstructured data
D. Measuring the relation between items

Answer 22

A. Identifying fictitious numbers, Benford’s Law provides that the distribution of the digits in multi-digit natural numbers is not random; instead, it follows a predictable pattern.

Question 23

Although rules vary depending on the jurisdiction, the presence of a third party at an admission-seeking interview could have liability consequences. True or False

Answer 23

True,

Question 24

A(n) ______________ interview is one that has the potential to bring about strong emotional reactions in the respondent.

a. Evasive
b. Volatile
c. Chronic
d. None of the above

Answer 24

b. Volatile

Question 25

Freddie calls Alex’s bank, claiming to be Alex, with the intention of stealing Alex’s identity. Freddie tells the bank representative that he needs to make sure the bank has the correct government identification number on his account because he had noticed an error on his statement. The bank representative refuses to give the number, so Freddie hangs up. Assuming that each of the following is illegal in the relevant jurisdiction, which of the following crimes did Freddie commit?
A. Defalcation
B. Pretexting with a financial institution
C. Embezzlement
D. Fraud in inducement

Answer 25

B. Pretexting with a financial institution,
Broadly defined, pretexting is the act of impersonating someone else or making false or misleading statements to obtain, sell, or buy information about a person or organization.

Question 26

\_\_\_\_\_\_\_\_\_\_\_ can BEST be described as a data analytics approach involving a learning algorithm that identifies similarities, patterns, or anomalies within a data set on its own, without human involvement.
A. Predictive analytics
B. Link analysis
C. Supervised machine learning 
D. Unsupervised machine learning

Answer 26

D. Unsupervised machine learning

Question 27

\_\_\_\_\_\_\_\_ is a data analysis software function that allows users to relate several files by defining relationships in collected data, without the use of the Join command.
A. Multi File processing 
B. Record selection
C. Correlation analysis
D. Verifying multiples of a number

Answer 27

A. Multi File processing

Question 28

Link analysis can be used to visually map connections between entities that share an address. True or False

Answer 28

True, Link analysis software is used by fraud examiners to create visual representations (e.g., charts with lines showing connections) of data from multiple data sources to track the movement of money; demonstrate complex networks; and discover communications, patterns, trends, and relationships.

Question 29

Generally, it is an indication of deception when an interview subject accused of fraud becomes angry while denying wrongdoing. True or False

Answer 29

False, When accused of wrongdoing, the typical guilty person reacts with silence. If the accused does deny culpability, those denials are usually weak. In some cases, the accused almost mumbles the denial. It is common for culpable individuals to avoid outright denials. Rather, they give reasons why they could not have committed the act in question.

Question 30

During the analysis phase in digital forensic investigations, it is best to use just one forensic tool for identifying, extracting, and collecting digital evidence. True or False

Answer 30

False, Unfortunately, due to the vast array of digital devices available, there is no single perfect tool or platform. No single analytical review tool can recover everything; each tool has its own strengths and weaknesses. Therefore, it is best to use a combination of the various tools during the analysis phase, allowing for the identification and recovery of more information.

Question 31

As a general rule, the more intelligent the witness, the less reliable that individual’s verbal and nonverbal clues of deception will be. True or False

Answer 31

False, Conclusions concerning behavior must be tempered by a number of factors. As a general rule, the more intelligent the respondent, the more reliable verbal and nonverbal clues will be.
A higher level of intelligence breeds more consistency in responses from which deviations are more clearly recognizable. People of lower intelligence tend to be more erratic in their behavior, and thus meaningful deviations are more difficult to discern

Question 32

Some of the most effective information-seeking questions are phrased as subtle commands. True or False

Answer 32

True, During the information phase of the interview, the interviewer should endeavor to primarily ask open questions to stimulate conversation. Some of the best open questions are subtle commands.

Question 33

What is mutual legal assistance (MLA)?

Answer 33

A process by which countries request and provide assistance in law enforcement matters

Question 34

During which phase of the data analysis process does the fraud examiner identify, obtain, and verify the relevant or requested data?

Answer 34

The preparation phase

Question 35

Suppose you suspect there is a ghost employee scheme taking place in your organization, and you want to compare the payroll records to the employee master file. Which data analysis technique would you use to match these two data records?
A. The join junction phase
B. Gap testing 
C. Correlation analysis
D. Compliance verification

Answer 35

A. The join junction phase, The Join function gathers the specified parts of different data files. Joining files combines fields from two sorted input files into a third file. Join is used to match data in a transaction file with records in a master file, such as matching invoice data in an accounts receivable file to a master cluster. For example, you might need to compare two different files to find differing records between them.

Question 36

In jurisdictions that regulate the processing and dissemination of personal credit information and personal data, such information cannot be obtained on an individual under any circumstances without the person’s consent. True or False

Answer 36

True, In many cases, the consumer must be notified and must consent to the use of the report.

Question 37

Sullivan is conducting an interview with Marsha, a potential co-conspirator in a fraud scheme. Throughout the interview, Marsha continuously moves around in her chair and touches her hair, indicating that she is nervous and under stress. Based on these signs, Sullivan should conclude that Marsha is lying to him. True or False

Answer 37

False, In detecting deception during an interview, the interviewer must remember that the interviewee or target might already be under stress because of the situation. While lying and deception do indeed cause stress, it is not necessarily true that all stress exhibited during an interview is caused by lying.

Question 38

Records obtained from financial institutions are perhaps the single most important financial source available to fraud examiners for purposes of tracing assets. True or False

Answer 38

True, Records obtained from financial institutions are perhaps the single most important financial source available to fraud examiners for asset-tracing purposes.

Question 39

When determining a subject’s net worth for asset-tracing purposes, all assets should be valued at current market value to eliminate any question about estimates. True or False

Answer 39

False,
• All assets should be valued at their historical cost, not fair market value. Subsequent appreciation or depreciation of assets should be ignored.
• The amount of funds available to the subject from legitimate sources should be estimated or computed generously.
• The subject should be interviewed to identify all alleged sources of funds and to negate defenses that they might raise later.

Question 40

All written fraud examination reports must include a follow-up/recommendations section. True or False

Answer 40

False, A follow-up/recommendations section is generally an optional part of a written fraud examination report.

Question 41

Bianca, a fraud examiner for the Levine Corporation, suspects that an employee of another company has committed a fraud scheme against Levine Corporation. The relevant jurisdiction regulates the distribution of credit information and personal data. Although Bianca has not obtained the suspect employee’s consent, she will likely be allowed to access their credit report from a third party. True or False

Answer 41

False, Some jurisdictions provide an exception to this rule when a party is conducting a background check for employment purposes, but since the suspect in this case is not an employee of the investigating party, the exception would not apply.

Question 42

In interview situations, \_\_\_\_\_\_\_\_\_\_\_ are questions that often suggest an answer opposite to the correct one.
A. Double negative questions
B. Inverted questions 
C. Reverse questions
D. Complex questions

Answer 42

A. Double negative questions

Question 43

Joan, a Certified Fraud Examiner (CFE), is conducting an interview of Adam, an accounts receivable clerk for Ajax Inc. At the beginning of the interview, Joan asked Adam a series of nonthreatening questions to observe his reactions. Joan was:
A. Calibrating the witness
B. Determining the witness equilibrium
C. Assessing the witness knowledge base
D. Establishing an interview theme

Answer 43

A. Calibrating the witness,
Calibrating (or norming) is the process of observing behavior before critical questions are asked. Calibrating should be a routine part of all interviews. People with truthful attitudes will answer questions one way; those with untruthful attitudes will generally answer them differently.

Question 44

Text-based data are typically considered:
A. Structured data 
B. Narrative data 
C. Documentary data 
D. Unstructured data

Answer 44

D. Unstructured data,
Data are either structured or unstructured. Structured data are the type of data found in a database, consisting of recognizable and predictable structures. Examples of structured data include sales records, payment or expense details, and financial reports. Unstructured data, by contrast, are data that would not be found in a traditional spreadsheet or database. They are typically text based.

Question 45

Suppose you need to prove a suspect’s illicit income circumstantially. Which of the following methods of tracing assets would yield the BEST result when the suspect is spending their illicit funds on items that would not cause an increase in net worth, such as travel and entertainment?
A. The income correlation method
B. The asset method
C. The bank deposit analysis method
D. The expenditure method

Answer 45

D. The expenditure method,
The expenditures method (also known as the sources and application of funds method) compares the suspect’s known expenditures and known sources of funds during a given period of time. That is, this analysis seeks to quantify the cost of the subject’s lifestyle and determine whether the subject’s reported income is sufficient to support their lifestyle. The expenditures method is best used when the subject spends illicit income on consumables (e.g., travel and entertainment) that would not cause an increase in net worth.

Question 46

In interview situations, \_\_\_\_\_\_\_\_\_\_\_\_\_ questions consist of a series of interrelated questions and frequently require more than one answer, such as “What are your duties here, and how long have you been employed?”
A. Closed
B. Reverse
C. Complex
D. None of the above

Answer 46

C. Complex, Complex questions are those that consist of a series of interrelated questions. For example: “What are your duties here, and how long have you been employed?” Complex questions and statements are too complicated to be easily understood, cover more than one subject or topic, require more than one answer, or require a complicated answer. Therefore, fraud examiners should avoid asking complex questions.

Question 47

Which of the following is a recommended method for organizing and presenting information in a fraud examination report?
A. By party
B. By order in which information was discovered
C. Chronologically
D. All the above

Answer 47

C. Chronologically

Question 48

All of the following are signs of deceptive behavior in an interview subject EXCEPT:
A. The subject frequently uses subtle and hand gestures when talking
B. The subject appears casual an unconcerned
C. The subject plays with a pencil during direct questioning
D. The subject slouches unnaturally in the chair

Answer 48

A. The subject frequently uses subtle and hand gestures when talking ,
The dishonest person will often try to appear casual and unconcerned, will frequently adopt an unnatural slouching posture, and might manipulate objects such as a pencil. They also might react to questions with nervous or false laughter or feeble attempts at humor.

Question 49

Which of the following is the BEST definition of indirect method of tracing financial transactions
A. Using bank records and financial statements
B. Using circumstantial evidence to analyze relationships between receipts and deposition
C. Using subject’s books and records
D. Using financial analysis to discover all significant expenses

Answer 49

B. Generally, fraud examiners can trace illicit transactions using a direct method or an indirect method. An indirect method employs circumstantial evidence to analyze the relationship between a suspect’s receipt and subsequent disposition of funds or assets. In contrast, a direct method uses the subject’s books and records (or financial transaction records belonging to third parties) to analyze the relationship between a suspect’s receipt and subsequent disposition of funds or assets.

Question 50

A statement collected by a fraud examiner during an interview would be considered an example of which of the following types of evidence?
A. Digital Evidence 
B. Inconclusive evidence 
C. Documentary evidence 
D. Testimonial Evidence

Answer 50

D. Testimonial evidence involves statements made by witnesses, neutral third parties, and suspects during interviews and/or when testifying at trial

Question 51

Abel, a Certified Fraud Examiner (CFE), conducted an interview of Baker, the controller of the ABC Company. Abel asked the following question: "Since you were here when the controls were developed, can you tell me how they came about?" This kind of question is called a \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_.
A. Complex question
B. Double negative questions 
C. Controlled answer technique 
D. None of the above

Answer 51

C. Controlled answer techniques may be used to stimulate a desired answer or impression. These techniques direct the interview toward a specific point. For example, it might be possible to get a person to admit knowledge of a matter by phrasing the question: “I understand you were present when the internal controls were developed; would you please describe how they were constructed?” This phrasing provides a stronger incentive for the respondent to admit knowledge than does: “Were you present when the internal controls were developed?” To stimulate the person to agree to talk or provide information, you might use a prompt such as the following: “Because you are not involved in this matter, I am sure you would not mind discussing it with me.” This provides a stronger incentive to cooperate than “Do you have any objections to telling me what you know?” Avoid negative construction such as “I don’t guess you would mind answering a few questions?”

Question 52

A fraud examiner is preparing the fraud examination report at the conclusion of a fraud investigation. When including information regarding the interviews conducted during the examination, the fraud examiner should:
A. Report the details of each witness interview in a separate memorandum
B. Include only the facts provided by the witnesses that substantiate the fraud allegation
C. Use signed copies of notes from interviews as primary recording document
D. Include all information provided by all witnesses

Answer 52

A. Each contact a fraud examiner makes during the course of a fraud examination should be recorded on a timely basis in a separate memorandum that documents the details of the interview.

Question 53

If qualified as an expert on such matters, the Certified Fraud Examiner (CFE) may issue an opinion on which of the following when reporting the results of fraud examination matters?
A. The adequacy of an entity’s internal controls
B. The effectiveness of the entity’s operations
C. Whether financial statements conform to generally accepted accounting principles
D. All the above

Answer 53

D. Opinions regarding technical matters, however, are permitted if the fraud examiner is qualified as an expert in the matter being considered.

Question 54

Which of the following is an objective of an admission-seeking interview?
A. To obtain a valid confession
B. To distinguish innocent individuals from potentially guilty ones.
C. To obtained a signed written statement acknowledging the facts
D. All the above

Answer 54

D. The admission-seeking interview is designed to obtain a legal admission of wrongdoing. It also serves various other purposes. For example, it seeks to distinguish innocent (non-culpable) individuals from potentially guilty ones. A culpable individual usually confesses during the admission-seeking phase of an interview, while an innocent person does not do so unless threats or coercion are used. Also, the interviewer will seek to obtain a valid confession. And finally, admission-seeking interviews are designed to convince the confessor to sign a written statement acknowledging the facts.

Question 55

In admission-seeking interviews, the transition from the accusatory process to the verbal confession should occur when the accused provides the first detailed information about the offense. True or False

Answer 55

True, In an admission-seeking interview, the interviewer should transition to the verbal confession when the accused provides the first detailed information about the offense. There are three general approaches to obtaining the verbal confession: chronologically, by transaction, or by event. The approach taken should be governed by the circumstances of the case. Once a verbal confession is obtained, the interviewer must probe gently for additional details—preferably details that only the subject knows.

Question 56

In jurisdictions that protect the processing and dissemination of credit information and personal data, businesses are not subject to the same protections that individuals have. True or False

Answer 56

True, But unlike consumer credit information, business credit information is generally not subject to the same legal protections that individuals have.

Question 57

It is best practice for fraud examiners to conduct covert operations at the same time that they are employing conventional methods of evidence-gathering. True or False

Answer 57

False, Therefore, fraud examiners should only resort to covert operations after conventional methods of evidence-gathering have been exhausted and proven unsuccessful.

Question 58

Which of the following is a type of information that can be obtained from the deep web
A. An archived version of a web page that is no longer online
B. Websites without any links pointing to them
C. Web content indexed by standard search engines
D. An old version of a web page that has since been updated

Answer 58

B. The deep web (also known as the invisible web) refers to web content that is not indexed by standard search engines. There are a number of reasons why the deep web exists. For instance, there are websites where web crawling programs cannot enter. Web crawlers are scripts that create copies of visited web pages that are indexed by a search engine to provide faster searches. These deep web resources include websites without any links pointing to them, certain file formats that search engines cannot handle, websites that have been blocked from web crawler access, password-protected websites, and information stored in databases. Also, search engines limit the depth of their crawl on a website. Moreover, web crawlers cannot crawl as quickly as pages are added or updated.

Question 59

Green believes that Blue, a fraud suspect, has purchased hidden personal property through suspicious financing. Which of the following sources, if available, would MOST LIKELY contain information that Green could use to locate Blue’s possible hidden assets?
A. Commercial records 
B. Health department records 
C. Registrar of voters 
D. Surveyor office records

Answer 59

A. Commercial filings are records that can help fraud examiners identify personal property that an individual or business has financed. These filings and supporting documents can help fraud examiners uncover hidden ownership or relationships between parties by viewing the names of all listed debtors and their addresses. The fraud examiner might find information linking individuals to the companies they own or discover information about a company’s subsidiaries, branch offices, or parent company. Additionally, discovering financed assets can reveal information about a person or organization’s financial condition.

Question 60

In most jurisdictions, which of the following statements about bankruptcy court records is CORRECT?
A. Only the party filing for bankruptcy and creditors may access bankruptcy records
B. A bankruptcy file typically contains the bankruptcy petition or filling document
C. bankruptcy documents are usually located in the jurisdiction where the most debt was incurred
D. All the above

Answer 60

B. Many jurisdictions provide bankruptcy records to the authorized parties or the general public.

Question 61

It is recommended that witnesses who are potentially volatile are interviewed without advance notice. True or False

Answer 61

True

Question 62

Lucas, a Certified Fraud Examiner (CFE), is conducting an admission-seeking interview of William, a fraud suspect. Lucas asks William, "Did you just want extra money, or did you do this because you had financial problems?" This is called a(n):
A. Rationalization question
B. Alternative question
C. Benchmark question
D. None of the above

Answer 62

B. Alternative question
The alternative question forces the accused to make one of two choices, both of which imply guilt. One alternative provides the accused with a morally acceptable reason for the misdeed; the other portrays the accused negatively. Regardless of which answer the accused chooses, they are acknowledging guilt. Examples of alternative questions include: “Did you plan this deliberately, or did it just happen?”

Question 63

Encryption refers to procedures used to convert information using an algorithm (called a cipher) into a coded format that makes the information unreadable. True or False

Answer 63

True

Question 64

Steganography refers to procedures used to convert information using an algorithm (called a cipher) that makes the information unreadable. True or False

Answer 64

False, Steganography is the process of hiding one piece of information within an apparently innocent file.

Question 65

To protect the security of a covert investigation, reports or memoranda of the covert operation should not be committed to paper. True or False

Answer 65

False, Before conducting a covert operation, it is essential that the basis for the operation be committed to writing, preferably in a memorandum.

Question 66

In interview situations, a(n) \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ is an orderly, continuous account of an event or incident given by a respondent with minimal or no prompting.
A. Free Narrative 
B. Information Response 
C. Unprompted Script
D. None of the above

Answer 66

A. Free Narrative, an orderly, continuous account of an event or incident, given with minimal or no prompting.

Question 67

Which of the following is a valid legal defense to allegations of entrapment against a fraud examiner who is a federal law enforcement officer?
A. The fraud examiner acted with adequate predication
B. There is proof of the suspects modus operandi
C. The fraud examiner had suspicion of foul play
D. The suspect made exculpable statements

Answer 67

A. The fraud examiner acted with adequate predication

Question 68

Most cryptocurrencies rely on public blockchains that provide visibility into every transaction that takes place. True or False

Answer 68

True, most cryptocurrencies rely on public blockchains that provide visibility into every transaction that takes place.