1. In a fraud investigation, documents:
a. Usually contain extremely valuable information.
b. Are rarely used in court.
c. Are not reliable sources of information.
d. Are only valuable in obtaining a confession.
2. Chain of custody refers to:
a. Marking on a document so it can be identified later.
b. A record of when a document is received and what has happened to it since its receipt.
c. Databases used in trials to assist lawyers.
d. The way in which courts are organized.
3. Marking documentary evidence is important to ensure that:
a. Documents are legal.
b. Databases can be created with valuable information.
c. Documents can be identified later.
d. Marking documentary evidence is not important.
4. Discovery sampling:
a. Is a type of variables sampling.
b. Is one of the more difficult statistical sampling methods to understand.
c. Is never used in conducting a fraud examination.
d. Deals with the probability of discovering at least one error in a given sample size if the population error is a certain percentage.
5. Documentary evidence such as private tax returns can usually be obtained only by:
b. Search warrant.
c. Voluntary consent.
d. All of the above.
6. Which of the following is not true regarding document experts?
a. They can usually determine whether a document was written by the person whose signature the document bears.
b. They can usually determine whether a document has been forged.
c. They can usually determine whether the date the document bears is the date the document was written.
d. All of the above are true statements.
7. Which of the following is not a benefit of statistical sampling?
a. It allows auditors to be certain that fraud does not exist in a population.
b. It is helpful when populations are large.
c. It allows quantification of risk.
d. It allows inference about a population.