CFE-Law Exam Dumps : Certified Fraud Examiner (CFE) - Law

The correct answer is B. Sounding board. In expert-witness cross-examination, the “sounding board” method is used when counsel asks the expert to agree with a series of basic or already accepted facts so the lawyer can repeat favorable points through the witness. The technique is not mainly about exposing inconsistency or prejudice. Instead, it uses the witness to reinforce the examining party’s theory of the case by obtaining repeated agreement on foundational matters. Secondary CFE prep materials describe sounding board in this same way: the witness is used to generally agree with the questioner’s position or with favorable facts already established.

The other options do not fit as well. Contradiction would involve trying to show the witness has said something inconsistent. Bias aims to show the witness is not objective, perhaps because of fees or relationships. Myopic vision usually refers to suggesting the expert’s perspective is too narrow or one-sided. Here, Nancy is simply being led to agree with basic, favorable facts, which is the classic sounding-board approach. Therefore, B is the most accurate answer.

The correct answer is C because it is the best example of circumstantial evidence. Circumstantial evidence does not directly prove the ultimate fact in dispute. Instead, it establishes surrounding facts from which a judge or jury may reasonably infer the conclusion. Here, proof that the cashier deposited $900 into a personal bank account the day after $900 was stolen does not directly show the cashier taking the money, but it strongly suggests involvement in the theft. That is precisely how circumstantial evidence works in fraud and theft cases.

Option A is direct evidence, not circumstantial evidence, because an eyewitness claims to have actually seen the cashier remove money from the register. Option B is merely demonstrative or illustrative evidence showing store layout; by itself, it does not tend to prove that the cashier committed the theft. Option D also does not prove the act of theft; it only explains a workplace rule or standard. In fraud examinations, circumstantial evidence is often very important because many fraudulent acts occur in secret, requiring investigators to prove wrongdoing through patterns, financial links, timing, and conduct rather than direct observation alone. Therefore, C is the strongest circumstantial-evidence choice.

This question tests your knowledge of Domain 6.

In the context of Tax Fraud, specifically relating to tax evasion, the question asks about NOT.

The correct answer is A: True.

This question focuses on tax fraud concepts. The correct answer distinguishes between legal tax avoidance and illegal tax evasion, or identifies specific tax evasion schemes. Tax fraud investigations require specialized knowledge of tax laws and common evasion techniques.