Question 1

Which statement below is incorrect regarding program modifications?

Accepted Answer

A)  Only material program changes should be thoroughly tested and documented. 
B)  During the change process, the developmental version of the program must be kept separate from the production version. 
C)  After the modified program has received final approval, the change is implemented by replacing the developmental version with the production version. 
D)  When a program change is submitted for approval, a list of all required updates should be compiled and then approved by management and program users. 
A)  Only material program changes should be thoroughly tested and documented. 
B)  During the change process, the developmental version of the program must be kept separate from the production version. 
C)  After the modified program has received final approval, the change is implemented by replacing the developmental version with the production version. 
D)  When a program change is submitted for approval, a list of all required updates should be compiled and then approved by management and program users.

Question 2

The auditor uses ________ to continuously monitor the system and collect audit evidence while live data are processed.

Accepted Answer

A)  test data processing 
B)  parallel simulation 
C)  concurrent audit techniques 
D)  analysis of program logic 
A)  test data processing 
B)  parallel simulation 
C)  concurrent audit techniques 
D)  analysis of program logic

Question 3

Verifying the accuracy of certain information,often through communication with third parties,is known as

Accepted Answer

A)  reperformance. 
B)  confirmation. 
C)  substantiation. 
D)  documentation. 
A)  reperformance. 
B)  confirmation. 
C)  substantiation. 
D)  documentation.

Question 4

Consideration of risk factors and materiality is most associated with which audit stage?

Accepted Answer

A)  collection of audit evidence 
B)  communication of audit results 
C)  audit planning 
D)  evaluation of audit evidence 
A)  collection of audit evidence 
B)  communication of audit results 
C)  audit planning 
D)  evaluation of audit evidence

Question 5

Organizing the audit team and the physical examination of assets are components of which two separate audit stages?

Accepted Answer

A)  planning; evaluating audit evidence 
B)  planning; collecting audit evidence 
C)  collecting audit evidence; communicating audit results 
D)  communicating audit results; evaluating audit evidence 
A)  planning; evaluating audit evidence 
B)  planning; collecting audit evidence 
C)  collecting audit evidence; communicating audit results 
D)  communicating audit results; evaluating audit evidence

Question 6

You are the head of the IT department at Panther Designs,Inc.A systems review reveals that your firm has poor control procedures for preventing inadvertent programming errors.However,you are not concerned because you feel Panther Designs has strong compensating controls.What control likely exists to give you this confidence?

Accepted Answer

A)  The internal audit department processes test data at Panther Designs. 
B)  Panther Designs pays its employees well, decreasing the likelihood of errors. 
C)  Panther Designs only hires competent programmers, decreasing the likelihood of errors. 
D)  All of Panther Design's IT applications are less than 2 years old. 
A)  The internal audit department processes test data at Panther Designs. 
B)  Panther Designs pays its employees well, decreasing the likelihood of errors. 
C)  Panther Designs only hires competent programmers, decreasing the likelihood of errors. 
D)  All of Panther Design's IT applications are less than 2 years old.

Question 7

Identify the activity below that the external auditor should not be involved.

Accepted Answer

A)  examining system access logs 
B)  developing the information system 
C)  examining logical access policies and procedures 
D)  making recommendations to management for improvement of existing internal controls 
A)  examining system access logs 
B)  developing the information system 
C)  examining logical access policies and procedures 
D)  making recommendations to management for improvement of existing internal controls

Question 8

Describe the risk-based audit approach.

Accepted Answer

The risk-based audit approach has four s

Question 9

Briefly describe tests that can be used to detect unauthorized program modifications.

Accepted Answer

Review procedures for requesting,approvi

Question 10

Which of the following is not an information systems audit test of controls?

Accepted Answer

A)  Observe computer-site access procedures. 
B)  Investigate how unauthorized access attempts are handled. 
C)  Review logical access policies and procedures. 
D)  Examine the results of disaster recovery plan simulations. 
A)  Observe computer-site access procedures. 
B)  Investigate how unauthorized access attempts are handled. 
C)  Review logical access policies and procedures. 
D)  Examine the results of disaster recovery plan simulations.

Question 11

The ________ audit examines the reliability and integrity of accounting records.

Accepted Answer

A)  financial 
B)  informational 
C)  information systems 
D)  operational 
A)  financial 
B)  informational 
C)  information systems 
D)  operational

Question 12

The possibility that a material error will occur even though auditors are following audit procedures and using good judgment is referred to as

Accepted Answer

A)  control risk. 
B)  detection risk. 
C)  inherent risk. 
D)  investigating risk. 
A)  control risk. 
B)  detection risk. 
C)  inherent risk. 
D)  investigating risk.

Question 13

Explain the differences between each type of audit risk.

Accepted Answer

Inherent risk is the threat faced just b

Which statement below is incorrect regarding program modifications?

The auditor uses ________ to continuously monitor the system and collect audit evidence while live data are processed.

Verifying the accuracy of certain information,often through communication with third parties,is known as

Consideration of risk factors and materiality is most associated with which audit stage?

Organizing the audit team and the physical examination of assets are components of which two separate audit stages?

Identify the activity below that the external auditor should not be involved.

Describe the risk-based audit approach.

Briefly describe tests that can be used to detect unauthorized program modifications.

Which of the following is not an information systems audit test of controls?

The ________ audit examines the reliability and integrity of accounting records.

The possibility that a material error will occur even though auditors are following audit procedures and using good judgment is referred to as

Explain the differences between each type of audit risk.

Accounting Information Systems: an Overview

Overview of Transaction Processing and Enterprise Resource Planning Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Controls for Information Security

Confidentiality and Privacy Controls

Processing Integrity and Availability Controls

The Revenue Cycle: Sales to Cash Collections

The Expenditure Cycle: Purchasing to Cash Disbursements

The Production Cycle

The Human Resources Management and Payroll Cycle

General Ledger and Reporting System

Database Design Using the Rea Data Model

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development and Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

Filters

Exam 11: Auditing Computer-Based Information Systems

Which statement below is incorrect regarding program modifications?

The auditor uses ________ to continuously monitor the system and collect audit evidence while live data are processed.

Verifying the accuracy of certain information,often through communication with third parties,is known as

Consideration of risk factors and materiality is most associated with which audit stage?

Organizing the audit team and the physical examination of assets are components of which two separate audit stages?

Identify the activity below that the external auditor should not be involved.

Describe the risk-based audit approach.

Briefly describe tests that can be used to detect unauthorized program modifications.

Which of the following is not an information systems audit test of controls?

The ________ audit examines the reliability and integrity of accounting records.

The possibility that a material error will occur even though auditors are following audit procedures and using good judgment is referred to as

Explain the differences between each type of audit risk.

Accounting Information Systems: an Overview

Overview of Transaction Processing and Enterprise Resource Planning Systems

Systems Documentation Techniques

Relational Databases

Computer Fraud

Computer Fraud and Abuse Techniques

Control and Accounting Information Systems

Controls for Information Security

Confidentiality and Privacy Controls

Processing Integrity and Availability Controls

The Revenue Cycle: Sales to Cash Collections

The Expenditure Cycle: Purchasing to Cash Disbursements

The Production Cycle

The Human Resources Management and Payroll Cycle

General Ledger and Reporting System

Database Design Using the Rea Data Model

Implementing an Rea Model in a Relational Database

Special Topics in Rea Modeling

Introduction to Systems Development and Systems Analysis

Ais Development Strategies

Systems Design, implementation, and Operation

Filters