Exam 10: Computer Controls for Organizations and Accounting Information Systems

The textbook identifies a number of issues that should be considered when developing a security policy.One of the issues is "identify threats".Which of the following is not an example of this issue?

Because of the integrative nature of database systems, cost-effective controls on these systems are unimportant.

From the standpoint of computer fraud, which type of controls would probably be of highest importance?

When they are not in use, tape and disk files should be stored apart from the computer room under the control of a librarian.

Both external and internal file labels are useful in avoiding the use of the wrong input tape.

Contingency planning includes the development of a formal disaster recovery plan.

The control of input and output of accounting transactions to and from the information processing subsystem should be performed by an independent control group.

Logical access to the computer system would be best controlled by:

A data field could pass all edit tests and still be invalid.Ad?ditional controls to cope with this would include:

Which of the following would lessen internal control in an automated data processing system?

A completeness test is an internal equipment control to test whether or not all transactions have been processed.

When erroneous data are detected by computer program controls, such data may be excluded from processing and printed on an error report.The error report should most probably be reviewed and followed up by the:

The operator, in mounting the magnetic tape containing the cash receipts for the processing run to update accounts receivable, mounted the receipts tape from the preceding rather than the current day.The error was not detected until after the processing run was completed.The best control procedure would be a:

The master inventory file, contained on a removable magnetic disk, was destroyed by a small fire next to the area where it was stored.The company had to take a special complete inventory in order to re-establish the file.The best control procedure would be:

Which of the following is not normally used as a control total to check the validity of data processing activities?

A sales transaction document was coded with an invalid customer account code 7 digits rather than 8).The error was not detected until the updating run when it was found that there was no such account to which the transaction could be posted.The best control procedure would be:

One of the "fallback" procedures of a computing centre is the "grandfather?parent-child" file arrangement.

A transaction involving a charge to a non-existent customer account was entered into an accounts receivable and billing system that was batch processed.This error should be detected by the computer sys?tem and appear in:

It would be appropriate for the payroll accounting department to be responsible for which of the following functions?

In designing a payroll system it is known that no individual's paycheque can amount to more than $300 for a single week.As a result, the payroll program has been written to bypass writing a cheque and printing out an error message if any payroll calculation results in more than $300.This type of control is called: