FAFD Q - A Last Attempt
FAFD Q - A Last Attempt
FAFD Q - A Last Attempt
100 In most common law jurisdictions, for a document to be admitted into evidence, it must be
properly __________ that is, the party offering the document must produce some evidence to
show it is, in fact, what the party says it is.
a) Validated
b) Marked
c) Certified
d) Authenticated
1. The warehouse supervisor in ABC Ltd. has stolen ₹ 5 lakhs worth of inventory
over the last year. He has made no effect to conceal his theft in any of the inventory
records. During as analytical review of the financial statements, which of the
following red flag might the auditor find that would indicate the inventory theft?
a) The percentage change in cost of goods sold was significantly higher than the
percentage change in sales.
b) The percentage change in sales was significantly higher than the percentage
change in cost of goods sold.
c) Sales and cost of goods sold moved together.
d) None of the above.
2. When circumstantial evidence is offered to prove that a subject has more income
available than can be accounted for from legitimate sources, the subject often
responds with which of the following defences?
4. SQL injection is an attack in which …………… code is inserted into strings that
are later passed to an instance of SQL Server.
a) Non malicious
b) Clean
c) Redundant
d) Malicious
6. Which of the following is a method in which contractors can inflate labour costs
in negotiated contracts?
7. Which of the following is the most appropriate type of question for fraud
examiners to ask during interviews to confirm facts that are already known?
a) Open
b) Leading
c) Complex
d) Narrative
8. Which of the following activities are included in the bid evaluation and award
phase of procurement involving open and free competition?
9. In MS-Excel, what is the correct way to refer the cell C5 on Worksheet named
"Report" from Worksheet named "Sales Data"?
a) =[Sales Data]!C5
b) =$C$5
c) ='Sales Data'!C5
d) ="Sales Data"!$C$5
a) Aggregation
b) Data mining
c) Inference
d) Polyinstantiation
11. Bars, restaurants, and nightclubs are favourite businesses through which to
launder funds because:
a) It is easy to match the cost of providing food, liquor, and entertainment with
the revenues they produce.
b) They charge relatively low prices for services.
c) Sales are generally in cash.
d) All of these choices are correct.
a) Text Constant
b) Mixed Reference
c) Circular Reference
d) All of the above
13. In …………… fraud scheme, Procurement official acts above or below normal
scope of duties in awarding or administering contract.
14. Suppose you suspect there is a Ghost Employee scheme taking place in your
organisation 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) Compliance verification
b) Correlation analysis
c) Join function
d) Gap Testing
a) SHA
b) MFT
c) HAVAL
d) MD2
16. Common fraud schemes involving ATMs include all of the following Except:
a) Retrieval
b) Double Hustle
c) Advance Fee
d) Scavenger
18. ……………….. can act as a "National Focal Point" for gathering information on
threats and facilitating the Central Government's response to computer based
incidents.
a) Intelligence Bureau
b) CBI
c) CERT-IN
d) Cyber Cell
a) Linguistic Analytics
b) The Fog Index
c) Textual Analytics
d) Benford's Law
20. Amar, a Fraud Investigator, is investigating Vijay, who is active on an online social
networking site in which he voluntarily shares information about himself. Amar
wants to search and extract information from Vijay's social network profile.
Which of the following is the most accurate statement about the privacy of
information Vijay shared through his social network profile?
a) To search for information that Vijay posted and made available to the public
through his social network profile, Amar must provide Vijay notice before
hand.
b) To access any information posted on Vijay's social network profile, Amar
must obtain some type of legal order from the jurisdiction in which Vijay
resides.
c) The Privacy of Social Networks Treaty is an international law that makes it
illegal for Amar to seek the login credentials from Vijay's social networking
account.
d) Amar could be liable for violating Vijay's privacy rights if he hacks or breaks
into areas of the social networking site Vijay has designated as private
21. Which of the following is typically the most effective way to document chain of
custody for a piece of evidence?
a) Steganography
b) Computer Forensics
c) Both ( a & b )
d) None of the above
23. Because Digital evidence is different from tangible evidence, the rules regarding
its admissibility in court are very different from the rules governing the
admissibility of tangible evidence.
a) True
b) False
25. A fraud scheme in which an accountant fails to write down obsolete inventory to
its current fair market value has what effect on the company's current ratio?
26. Which of the following is a legal element that must be shown to prove a claim for
fraudulent misrepresentation of material facts?
27. Mr. Ram has been retained by an attorney to testily as an expert witness at Mr.
Mallya's trial. Coincidentally. Mr. Ram also met Mr. Mallya while attending a
university many years earlier. The attorney is compensating Mr. Ram for his
services. Which of the following statements concerning conflicts of interest is
MOST ACCURATE?
30. Keeping track of the amount of paper generated is one of the biggest challenges in
forensic audit. Which of the following is generally NOT a recommended practice
when organizing evidence?
31. Which of the following statements about how Forensic Auditors should approach
fraud examinations is CORRECT?
32. Mr. Ram, Forensic Auditor, determines that a document that purports to be the
original writing of a famous author created fifty years ago, is actually made from
paper created no more than 2 years ago. Which of the following best describes the
document?
a) An Auto forgery
b) An Anachronism
c) An Indented Writing
d) None of the above
a) Sender
b) Receiver
c) Sender and Receiver both
d) All the connected devices to the network
34. When gathering information for a fraud investigation, virtually all helpful
documentary evidence will come from internal sources.
a) True
b) False
36. Mr. Ram, Forensic Auditor, is conducting an admission seeking interview. Which
of the following strategies should Mr. Ram follow in his attempt to obtain a
confession?
a) Imply that time is of the essence to pressure the subject into confessing.
b) Conduct the interview in a firm, yet compassionate manner.
c) Minimise sympathy and maximise the perception of wrongdoing.
d) Avoid potential liability by making the accusation in the presence of outsiders.
37. Mr. Shyam is on the boards of two companies that compete in the highway
construction industry. Paul does not disclose this conflict, and he does not step
down from the board of either company. If Mr. Shyam's acts are discovered and
he is sued for violating his fiduciary duties, under what theory is the suit most
likely to be filed?
38. Which of the following is an information security goal that an e-commerce system
should strive to provide its users and asset holders?
a) Non repudiation
b) Exactness
c) Access authority
d) System reliability
a) Section 66A
b) Section 66D
c) Section 66E
d) Section 66F
41. As per DOT, using spoofed call service is illegal as per the ………………………
42. From a legal perspective, which rule must be addressed when investigating a
computer crime?
a) TRUE
b) FALSE
a) Norming
b) Rapport
c) Active Listening
d) Calibration
45. Which of the following is a recommended method for organising and presenting
information in a fraud examination report?
a) By the order in which the information was discovered
b) By party
c) Chronologically
d) All of the above
46. What is the advantage of using a tape backup system for forensic acquisitions of
large data sets?
47. During the introductory phase of the interview, the interviewer should avoid terms
such as:
a) Investigation
b) Review
c) Inquiry
d) All of the above
a) Formula Editor
b) Query Editor
c) Equation Editor
d) None of the above
49. …………………….. refers to any statistical process used to analyse data and draw
conclusions from the findings.
a) Data Analysis
b) Data Mining
c) Big Data
d) None of the above
a) Kinetic
b) Chronemic
c) Paralinguistic
d) Proxemic
53. Which of the following is true for the Statistical sampling of data?
a) Complex function
b) Multiple function
c) Nested function
d) Mixed function
a) Brute-Force Scripting
b) Bit locker
c) Hashing Algorithm
d) Binary Sniffing
57. For employee expense reimbursement request, electronic receipts are preferred to
paper receipts because they are more difficult to alter or forge.
a) True
b) False
58. When a caller ID display a phone number different from that of the telephone
from which the call was placed is called ………………………
a) Cellular Fraud
b) Caller ID Phishing
c) Caller ID Spoofing
d) Unethical Hacking
59. While examining a document, a fraud examiner notices some very faint indented
writings that might aid the examination if revealed. Which of the following would
be the forensic auditor's best course of action in analysing these indented writings?
60. During an interview, Mr. Shyam, an employee at ABC Ltd, confesses to Mr. Ram,
Forensic Auditor, that he has been embezzling money from the company. Which
of the following pieces of information does Mr. Ram NOT have to obtain from Mr.
Shyam?
61. ………………… was designed to protect against accidental errors, such as a digit
mistyping.
a) Relative Size Factor
b) Luhn algorithm
c) Benford's Law
d) None of the above
62. In MS-Excel, while splitting Text String in a column with Text to Columns, the
data in original column can be retained.
a) True
b) False
63. What is the health care industry concerned about the potential effect of the
Electronic Data Interchange (EDI) on fraudulent activity?
64. Which of the following statement is True regarding a fictitious refund scheme?
66. Which of the following is a method that investigators can use to detect
steganography?
67. When searching regulatory securities records for information on a publicly traded
company, which of the following information is least likely to be found?
a) Major events that are of interest to investors
b) Identity of the company's officers and directors
c) Identity of major owners of the company
d) The complete books and records of the company
68. Forensic Auditor visited a project site and discovered a road of sub-standard
quality. The road was built 50 percent narrower than specifications and lacked
road surfacing. Nevertheless, the contract was paid in full. It is
…………………………. Type of Fraud.
a) Product substitution
b) Substandard work
c) Deviation from specifications
d) Failure to deliver
a) True
b) False
70. Mr. Ram, Forensic Auditor, conducted an interview of Shyam, the controller of
the ABC Ltd. Mr. Ram 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) Complex Question
b) Controlled Answer Technique
c) Double Negative Question
d) Open Question
71. Which of the following is NOT a type of physical access control device that can be
used to control access to physical objects?
a) Biometric systems
b) Profiling software
c) Electronic access cards
d) Locks and keys
72. What part of a cloud implementation provides the virtual servers with access to
resources?
a) Hypervisor
b) Resource monitor
c) Resource auditor
d) Virtual Manager
73. A Forensic Auditor is deciding whether to conduct a traditional or a covert
examination for a suspected fraud. Which of the following factors would be most
favourable to conducting a covert examination?
a) There are sufficient details at the present time to apprehend the suspect.
b) The Forensic Auditor would like to determine who is responsible for known
losses occurring in a certain area.
c) The Forensic Auditor finds it important to collect information in a direct
manner from people possessing it.
d) The Forensic Auditor has several avenues through which he can obtain the
necessary information.
74. Before powering off a computer system, a computer crime investigator should
record contents of the monitor and ……………...
75. Which of the two key functions is included in IDEA to identify exceptions,
irregularities, anomalies and errors?
76. Which of the following types of transactions is most likely to use a Person-to-
person (P2P) payment system?
77. Which of the following statement best describes the function of metasearch
engines such as Sputtr, Dogpile and Mamma?
a) Metasearch engines contain links to websites that are sorted into categories
b) Metasearch engines send user requests to several search engines and aggregate
the results for display
c) Metasearch engines narrow searches to only those search engines that achieve
the best results
d) None of the above
78. Which of the following facts would best support the defence of a law enforcement
officer against an allegation of entrapment?
79. Which of the following evidence collection method is most likely accepted in a court
case?
81. Which of the following refers to investments that are designed to yield a tax benefit
to the investor?
a) Tax shelters
b) Tax havens
c) Secrecy jurisdictions
d) Money laundering havens
a) Benford's Law can only be applied to data sets listed in currency amounts.
b) Benford's Law cannot be applied to data sets with non-natural numbers.
c) Benford's Law only works on data sets with assigned numbers.
d) Benford's Law applies best to data sets with three digit numbers.
83. Mr. Ram, Forensic Auditor, is undertaking a data analysis engagement to identify
potential fraud at ABC Ltd. Which of the following lists the most appropriate
order in which he should conduct the steps involved in the data analysis process?
84. A Forensic Auditor discovers that Mr. Shyam, a fraud suspect, has made dozens
of cash deposits over the last few months into a bank account. None of the deposits
have been Rs. 50,000 or more, and none of them have been below Rs. 45,000,
either. The currency reporting threshold for cash deposits at financial institutions
in the jurisdiction is Rs. 50.000. Based on this information, which of the following
schemes is Mr. Shyam most likely committing?
a) The attacker delivers the solicitation via telephones using Voice over Internet
Protocol instead of email.
b) The attacker delivers the solicitation message via SMS instead of email.
c) The attacker does not have to rely on having the user click on a link in an
email to direct him to malicious website that is imitating a legitimate website.
d) The attacker has to rely on having the user click on a link in an email to direct
him to the malicious website that is imitating a legitimate website.
a) Multipartite
b) Armored
c) Changeling
d) Polymorphic
87. Which of the following functions does a Benford's Law analysis help to achieve?
89. The encoding step of a ………………… system identifies redundant bits and then
replaces a subset of them with data from a secret message.
a) Phishing
b) Steganographic
c) SQL Injection
d) Key Logging
90. Which of the following methods might be used to conceal a sham loan transaction
in which the loan officer receives part of the proceeds (kickback)?
91. Following are part of Planning Phase in Data Analysis Process, except:
a) =IF(A2:D4=3,MAX(A5:A10))
b) =IF(A2>=3,MAX(A5:A10))
c) =IF(A2<=3,MAX(A5:A10))
d) None of the above
93. Which of the following is TRUE concerning the volatility of digital evidence?
a) Even the integrity of digital evidence has been violated through alteration or
destruction, it can be restored easily.
b) The failure to preserve the integrity of digital evidence could result in
evidence being deemed inadmissible in a legal proceeding
c) Digital evidence is less volatile than tangible evidence because data cannot be
altered or destroyed easily than tangible information
d) None of the above
94. Which of the following situation is often present in real estate fraud schemes?
95. Which of the following is one of the objectives on which the international
Organization of Securities Commissions (IOSCO) Objectives and Principles of
Securities Regulation are based?
96. In MS-Excel, which of the following function would you use to compare two text
strings in a database?
a) EXACT
b) MATCH
c) VLOOKUP
d) All of the above
a) Phishing
b) Evading detection
c) URI Hacking
d) SQL Injection
98. Suppose that a forensic auditor is going to testify at trial about an examination
report for a complex case, and the report contains summaries of the key
documents that were created by someone other than the forensic auditor. Which
of the following best describes what the forensic auditor should know about the
documents underlying the summaries?
a) The forensic auditor must have read and analysed every document in the case.
b) The forensic auditor should conduct a complete review of the documents
underlying the summaries.
c) The forensic auditor does not need to review the documents underlying the
summaries.
d) The forensic auditor only needs to review some of the documents underlying
the summaries for quality assurance.
99. In MS-Excel, you can group non-contiguous worksheets with
………………………
100. Which of the following is a type of information that can be obtained from the deep
web?