Question 1

Input controls attempt to assure the validity,accuracy and completeness of the data entered into an AIS.

Accepted Answer

A) True 
 B)False

Question 2

All controls available for the computerized accounting information system of a company should be implemented regardless of cost due to the high rate of computer crime.

Accepted Answer

A) True 
 B)False

Question 3

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

Accepted Answer

A) True 
 B)False

Question 4

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

Accepted Answer

A) The computer librarian maintains custody of computer program instructions and detailed listings 
B) Computer operators have access to operator instructions and detailed program listings 
C) The data control group is solely responsible for the distribution of all computer output 
D) Computer programmers write and debug programs which perform routines designed by the systems analyst

Question 5

Consensus-based protocols contain an odd number of processors.

Accepted Answer

A) True 
 B)False

Question 6

An expense report was prepared by a company's cost center.One executive questioned one of the amounts and asked for "the source documents which support the total." Data processing was not able to routinely do so.The best control procedure would be:

Accepted Answer

A) An error listing 
B) An audit trail 
C) Transmittal control 
D) Documentation

Question 7

If _____ controls are ineffective,this can cause ____ controls to be unreliable.

Accepted Answer

A) IT general,application 
B) Application,IT general 
C) Application,enterprise 
D) Cross-footing,segregation of duties

Question 8

Which of the following is not a subcategory of input controls?

Accepted Answer

A) Observation,recording and transcription of data 
B) Edit tests 
C) Additional input controls 
D) Data processing

Question 9

A very effective ID approach for safeguarding logical computer access bases user recognition on:

Accepted Answer

A) IDA 
B) Biometric identifications 
C) Message acknowledgment procedures 
D) Routing verification procedures

Question 10

Which of the following types of errors will check digits usually detect?

Accepted Answer

A) Transposition of two digits 
B) Inaccuracy of one digit 
C) Double mistakes canceling out each other 
D) Fraudulent data

Question 11

A CPA reviews a client's payroll procedures.The CPA would consider internal control to be less than effective if a payroll department supervisor was assigned the responsibility for:

Accepted Answer

A) Distributing payroll checks to employees 
B) Reviewing and approving time reports for subordinate employees 
C) Hiring subordinate employees 
D) Initiating requests for salary adjustments for subordinate employees

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

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?

Accepted Answer

A) What assets need to be protected 
B) What are the sources of potential security problems 
C) External threats are viruses,worms,retaliations from former employees 
D) Internal threats are misuse of assets by employees and embezzlement

Question 14

An internal label may be used only with magnetic tape systems.

Accepted Answer

A) True 
 B)False

Question 15

A business continuity plan (BCP)includes which of the following?

Accepted Answer

A) Backups for hardware 
B) Procedures to follow in the event of an emergency 
C) Who is in charge during the emergency 
D) none of the above 
E) all of the above

Question 16

In an online,real-time system,which of the following would be most likely to be used as backup for an application's master file maintained on magnetic disk?

Accepted Answer

A) At specified periods the disk files would be dumped to (copied on)magnetic tape along with the period's transactions 
B) A duplicate disk file would be maintained and all activity would be copied on magnetic tape continuously 
C) The grandfather-parent-child technique would be employed to retain disk files 
D) All source documents for transactions would be retained 
E) The disk files would be copied to magnetic tape continuously

Question 17

Testing processing programs with test data is performed only when a system is first installed due to the high costs of such test runs.

Accepted Answer

A) True 
 B)False

Question 18

_____________ permit data to be written on a magnetic tape.

Accepted Answer

A) File protection rings 
B) Lock out procedures 
C) Rollback processing 
D) Fault-tolerant systems

Question 19

The least effective physical security control for a computer center is:

Accepted Answer

A) Limited employee access 
B) Color-coded identification badges 
C) Insurance 
D) Strategic placement of computer center equipment

Question 20

In most companies,contingency planning is unnecessary.

Accepted Answer

A) True 
 B)False

Exam 10: Computer Controls for Organizations and Accounting Information Systems

Input controls attempt to assure the validity,accuracy and completeness of the data entered into an AIS.

All controls available for the computerized accounting information system of a company should be implemented regardless of cost due to the high rate of computer crime.

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

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

Consensus-based protocols contain an odd number of processors.

An expense report was prepared by a company's cost center.One executive questioned one of the amounts and asked for "the source documents which support the total." Data processing was not able to routinely do so.The best control procedure would be:

If _ controls are ineffective,this can cause controls to be unreliable.

Which of the following is not a subcategory of input controls?

A very effective ID approach for safeguarding logical computer access bases user recognition on:

Which of the following types of errors will check digits usually detect?

A CPA reviews a client's payroll procedures.The CPA would consider internal control to be less than effective if a payroll department supervisor was assigned the responsibility for:

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

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?

An internal label may be used only with magnetic tape systems.

A business continuity plan (BCP) includes which of the following?

In an online,real-time system,which of the following would be most likely to be used as backup for an application's master file maintained on magnetic disk?

Testing processing programs with test data is performed only when a system is first installed due to the high costs of such test runs.

_____________ permit data to be written on a magnetic tape.

The least effective physical security control for a computer center is:

In most companies,contingency planning is unnecessary.