Information Systems Auditing Quiz

The process of reviewing and evaluating an organization's information systems to ensure the security and integrity of its assets, data, and operations.

Protection of an organization's information system assets, including hardware, software, data, and personnel, from unauthorized access or damage.

Ensuring that data within an information system is accurate, complete, reliable, and transparent throughout its lifecycle.

Evaluating the effectiveness of an information system in meeting user needs and facilitating decision-making.

Analyzing the efficiency of information systems in terms of resource utilization, performance, and optimization.

Attributes of data that ensure its quality and trustworthiness. These include completeness, reliability, transparency, and accuracy.

The process of ensuring data is protected and managed from its creation to its eventual disposal.

The ability of an organization to use its information systems to gain a competitive edge in the market.

Analyzing data files for patterns, comparing data sets, and extracting specific records.

Using software to select specific records for audit examination, ensuring a targeted and efficient approach.

Applying software tools to verify the accuracy of calculations and data processing within a system.

Leveraging software to create confirmation letters for audit purposes, ensuring efficient communication with external parties.

Examining the age of outstanding transactions to highlight potential risks, such as overdue invoices or uncollected payments.

A testing approach that involves creating a dummy entity within a system to process audit test data.

A method of verifying the authenticity, accuracy, and completeness of data by processing test data alongside real data.

A technique used to test systems on a large scale, involving multiple locations and different user groups.

A technique used in auditing to embed a program within another application to monitor and collect data on specific events, allowing auditors to gain insights into the application's behavior.

The process of adding a unique identifier or 'tag' to a transaction to track its journey through an application system.

The ability of auditors to utilize a system's tracing or debug function to monitor the flow of transactions.

Auditors can embed code into an application to monitor and collect data on specific events. This allows for continuous monitoring and data collection.

The risk of disrupting the organization's or client's data is high, and controls must be robust to ensure the embedded audit routines do not affect the application's core functions.

Specialized expertise is crucial to embed audit routines without negatively affecting the application.

The ability to add a unique identifier to transactions, allowing auditors to track the complete lifecycle of a transaction from input to output.

The risks associated with transaction tagging include disrupting client data and needing robust controls to manage the tagging process.

Data that is set up and configured according to business rules and policies. It defines how software functions and what menu options are displayed to users.

Specific data involved in a particular transaction, unique to each instance of activity.

The process of handling transactions within a system. It includes tasks like initiation, authorization, and approval.

Data that is automatically generated by the system, not directly created by a user.

Data that is inputted or modified by a user, directly impacting the system.

The process of obtaining and managing the materials needed for production or service delivery. It encompasses all stages from ordering to payment.

The use of automation and technology to streamline the Procure to Pay process. It aims to optimize efficiency and accuracy.

The entirety of the Procure to Pay cycle, including all steps from ordering to payment.

Ensuring that only authorized personnel can make changes to general ledger entries.

Separating the process of posting transactions to the ledger from the process of approving those transactions.

Automatically comparing related accounts (like assets and liabilities) to check their accuracy.

Generating reports of all journal entries, both routine and unusual, for management review.

Making sure that all entries that don't fit typical patterns (like unusual amounts) are reviewed carefully.

Preventing entries that don't balance properly from being recorded.

Using automated systems to consolidate financial data from different parts of a company, including eliminating duplicate entries.

Regularly comparing actual financial results with planned or expected results and investigating any significant differences.

A technique used to monitor and identify exceptions or irregularities during application transactions while the application system is running, often using a database management system (DBMS). It involves simulating the application's instruction execution in real-time to analyze transactions.

A variation of the Continuous Auditing and Review of Files (SCARF) technique designed to detect exceptions when the application utilizes a database management system (DBMS) to process transactions.

A type of audit that is performed on a continuous basis, monitoring an organization's systems and data in real-time to detect and prevent potential fraud, errors, and security breaches.

This audit technique helps auditors identify and investigate exceptions, or unusual events, that may indicate potential problems or fraud.

Continuous audit techniques require access to resources, such as personnel, expertise, and infrastructure, to implement and maintain. This includes the development, implementation, operation, and maintenance of the techniques.

Continuous audit techniques are more likely to be employed when auditors are actively involved in the development work associated with a new application system. This collaboration can improve the integration of audit controls and ensure effective monitoring from the initial stages of development.