New (2026) Download free CFE-Fraud-Investigations-and-Legal-Issues PDF for ACFE Practice Tests [Q191-Q207]

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New (2026) Download free CFE-Fraud-Investigations-and-Legal-Issues PDF for ACFE Practice Tests

100% Free CFE-Fraud-Investigations-and-Legal-Issues Files For passing the exam Quickly

ACFE CFE-Fraud-Investigations-and-Legal-Issues Exam Syllabus Topics:

Section	Weight	Objectives
Topic 1: Fraud Investigation Methodology	20-25%	– Investigation planning and scope – Evidence collection and preservation – Data analysis and tracing illicit transactions – Interview and interrogation techniques – Investigation reporting and documentation
Topic 2: Law Related to Fraud	10-15%	– Mail, wire, and false claims fraud – Corruption and bribery laws – Conspiracy and obstruction of justice – Fraud and misrepresentation
Topic 3: Rules of Evidence and Testimony	10-15%	– Hearsay and exceptions – Admissibility of evidence – Expert witness standards and testimony
Topic 4: Specialized Fraud Laws	15-25%	– Money laundering and financial regulations – Bankruptcy fraud – Securities fraud – Tax fraud
Topic 5: Individual Rights During Examinations	10-15%	– Employee rights and duties – Rights in public vs private sector – Whistleblower protections
Topic 6: Legal Systems and Procedures	10-15%	– Overview of legal systems 1. Civil vs. common law 2. Adversarial vs. inquisitorial processes – Civil and criminal litigation 1. Civil litigation process 2. Criminal prosecution procedures

Q191. Which of the following is generally one of the goals of deferred prosecution agreements?

To help reduce the risk of future illegal practices by an organization accused of misconduct.

To save trial resources by getting the defendant to plead guilty to a less serious offense.

To postpone prosecution until a company conducts an adequate internal investigation.

To increase the likelihood of conviction if a company is accused of subsequent misconduct.

Q192. Which of the following statements regarding the qualifications of expert witnesses in most inquisitorial jurisdictions is CORRECT?

Certification in a specific field is always enough to qualify an expert

An excerpt is not qualified to testify unless all parties to the litigation approve

Experts are generally prohibited from serving as expert witnesses in multiple cases

The qualification of an expert is generally based on standardized requirements

Q193. Which of the following can affect the rights that employees may have during an internal investigation?

Existence of fraud risk factors

Existence of violation red flags

Existence of interstate compacts

Existence of an employment contract

Q194. In systems using adversarial processes, an attorney may impeach an opposing party ‘ s witness by showing that the witness:

Testified from personal knowledge

Has a reputation for being truthful

Made prior inconsistent statements

Possesses a strong ability to observe

Q195. Frederick has multiple high-volume foreign bank accounts. The country he lives in requires him to report such accounts annually for tax purposes but he regularly and intentionally fails to report his accounts in order to reduce the amount of taxes he must pay. Which of the following schemes has Frederick MOST LIKELY committed?

A tax credit evasion scheme

A value-added tax evasion scheme

An excise tax evasion scheme

An income and wealth tax evasion scheme

Q196. According to the Organisation for Economic Co-operation and Development’s OECD Recommendation on Combating Bribery in International Business, member states are encouraged to combat the bribery of foreign public officials by improving which of the following primary areas within their respective infrastructures?

Initiatives related to stronger data protection

Criminal, civil, commercial, and administrative laws

E-commerce business practices and regulations

Regulations related to the public’s health and safety

Q197. Which of the following statements is MOST ACCURATE regarding the volatility of digital evidence?

If the integrity of digital evidence is violated through alteration or destruction, then it usually can be restored by a digital forensic expert.

Digital evidence is less volatile than tangible evidence because tangible evidence is subject to claims of spoliation and digital evidence is not.

Digital evidence is more volatile than tangible evidence because digital data can be altered or destroyed more easily than tangible information.

The failure to preserve the integrity of digital evidence collected during an investigation does not affect its admissibility in a legal proceeding.

Q198. Mari, a law enforcement officer, believes that procurement employees at a local hospital are particularly susceptible to corruption. To test her theory, Mari poses as a salesperson for a medical supply company and offers a kickback to a hospital employee. Although the employee initially rejects the kickback, Mari eventually convinces them to accept the offer. Which of the following claims could the employee make against Mari during trial?

Collusion.

Coercion.

Entrapment.

Misrepresentation of a material fact.

Q199. June, a fraud examiner, is preparing to interview a subject who is from a different jurisdiction. Before conducting the interview, June should:

Familiarize the subject with the cultural practices common in June’s jurisdiction so there are no surprises.

Research the cultural norms common in the subject’s jurisdiction so they can be avoided to make the subject less comfortable.

Consult with legal counsel in advance only if the investigation is likely to involve a third jurisdiction.

Verify whether the subject’s jurisdiction has any rules in place that would prevent June from compelling the subject to cooperate with her.

Q200. The term_____________refers to a process of resolving allegations of fraud from inception to disposition.

Fraud theory

Forensic investigation

Fraud management

Fraud examination

Q201. Which of the following statements regarding the planning process for admission-seeking interviews is MOST ACCURATE?

The interviewee may bring a friend or relative to the interview for translation purposes if an interpreter is required to ensure that their responses are translated accurately.

Chairs in the interview room should be positioned close together with no more than two feet of space between them to foster a sense of assurance and trust during the interview.

Fraud examiners should allow the presence of outside observers in interviews if laws or regulations in the jurisdiction require their presence or there are language barriers.

Fraud examiners should seek to interview suspects remotely whenever possible because remote interview settings are more comfortable for interviewees and reduce potential distractions.

Q202. Which of the following statements concerning judgments involving parties that are in multiple jurisdictions is most accurate?

Whether a foreign judgment is enforceable is not affected by the law where the judgment is enforced.

Whether a foreign judgment is enforceable always depends on where the defendant ‘ s assets are located.

If a party obtains a judgment against a defendant in one jurisdiction, then that judgment is effective automatically and recognized in all jurisdictions throughout the world.

If a party obtains a judgment against a defendant in one jurisdiction, then that judgment might not be effective in other jurisdictions where the defendant resides.

Q203. Caroline, a fraud examiner, is conducting an admission-seeking interview with John, an employee suspected of stealing cash. Which of the following is the MOST effective phrasing for Caroline to use when posing an admission-seeking question to John?

” Why did you take the money? “

” What do you know about the stolen money? “

” Do you know who took the money ‘ ‘ “

” Did you steal the money? “

Q204. Which of the following statements about the different types of alternative dispute resolutions is CORRECT?

In an arbitration proceeding, the arbitrator assists the parties in finding a mutually agreeable resolution to their dispute.

In arbitration, the final determination is always binding upon the parties.

In mediation, the final settlement agreement is a binding contract.

In a mediation session, the mediator decides the outcome of a case by deciding which party should win the dispute.

Q205. Charles, a fraud examiner, accuses George of fraud during an admission-seeking interview. George immediately denies the charge How should Charles respond to George ‘ s denial?

Counter the denial by arguing with George until further denials are futile

Use a delaying tactic to interrupt the denial

Remind George he has to tell the truth or face perjury.

Allow George to continue denying the charge.

Q206. Shane, a Certified Fraud Examiner (CFE). is investigating Larsen. who is active on various social networking sites. Shane wants to search and extract information from Larson ‘ s social media postings so that it can be used in court as evidence Which of the following is the MOST ACCURATE statement regarding what Shane should do when conducting a social media investigation of Larsen?

Shane should conduct a forensic shutdown of his computer to preserve the metadata in the social networking sites.

Shane should preserve the information from the social networking sites so that it can be established as authentic if used in court.

Shane should email himself the links of the postings so that he can retrieve them later.

Shane should preserve the information by saving the links of the postings in his ‘ bookmarks “

Q207. Suri is conducting a fraud examination in a country where courts apply laws from codified statutes to each case and their decisions are not bound by similar court decisions from previous cases. This type of judicial system is best known as a:

Codified law system

Common law system

Statutory law system

Civil law system