1. The formula to calculate funds from unknown sources is:
a. Assets − Liabilities − Prior Year’s Net Worth + Living Expenses − Funds from Known Sources.
b. Assets − Liabilities − Prior Year’s Net Worth − Living Expenses − Funds from Unknown Sources.
c. Assets − Liabilities − Prior Year’s NetWorth + Living Expenses + Funds from Unknown Sources.
d. Assets − Liabilities − Prior Year’s Net Worth − Living Expenses + Funds from Unknown Sources.
2. The Gramm-Leach-Bliley Act allows:
a. Banks to sell customer information.
b. Financial institutions to share information.
c. Customers to “opt out” and ask that their information not be shared.
d. All of the above.
3. Each of these agencies is correctly matched with the type of information the agency provides except:
a. Department of Justice: Maintains records relating to the detection, prosecution, and rehabilitation of offenders.
b. The Secret Service: Deals with counterfeiting, theft of government checks, interstate credit card violations, and some computer crimes.
c. State Attorney General: Maintains birth records and information about people’s SSNs.
d. CIA: Investigates security matters outside the United States.
e. Department of Business Regulation: Maintains licensing information about various professionals.
4. Each of these statements is true about the net worth method for determining embezzled amounts except:
a. The net worth method generally understates amounts stolen.
b. Much of the information necessary for determining an individual’s assets, liabilities, living expenses, and income is available through public searches.
c. Courts are generally suspicious of dollar amounts determined by the net worth method because courts realize that the net worth method can only provide approximations of the amount stolen.
d. The net worth method is useful for obtaining confessions from suspects during interviews or interrogations.
5. Under the net worth method, a person who has an increase in net worth of $100,000, known expenses of $80,000, and a salary of $60,000 would have an unknown income of:
6. Known income subtracted from total income gives a reasonable estimate of:
a. Unknown funds.
c. Living expenses.
d. Net worth.