Accounting Information Systems
11th Edition
ISBN: 9781337552127
Author: Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 4, Problem 2DQ
Summary Introduction
To comment: On the given statement.
Introduction:
Expert Solution & Answer
Trending nowThis is a popular solution!
Students have asked these similar questions
1.) The Information Systems Audit and Control Association (ISACA) developed guidelines and procedures on how to follow the standards that apply specifically to the specialized nature of the IS Audit. The guidelines serve as guidance the IS auditor should normally follow. However, there may be situations where the auditor will not follow that guidance. In this case, what happens now to the work done by the IS auditor?
2.) Audits are conducted for various reasons. It can help an organization ensure effective operations, affirm its compliance with various regulations, and confirm that the business is functioning well and is prepared to meet potential challenges. There are three typical phases in an Audit, explain each phase and its relation to the other.
1.) The Information Systems Audit and Control Association (ISACA) developed guidelines and procedures on how to follow the standards that apply specifically to the specialized nature of the IS Audit. The guidelines serve as guidance the IS auditor should normally follow. However, there may be situations where the auditor will not follow that guidance. In this case, what happens now to the work done by the IS auditor?
2.) Audits are conducted for various reasons. It can help an organization ensure effective operations, affirm its compliance with various regulations, and confirm that the business is functioning well and is prepared to meet potential challenges. There are three typical phases in an Audit, explain each phase and its relation to the other.
3.) Every organization has controls in place. Such controls must be effective. They are effective if they prevent, detect, or contain incidents and enable recovery from events that cause risks. Enumerate those three types of control…
The increasing use of sophisticated EDP systems has produced significant changes in the accounting environment. The changes are:
The potential for individuals to gain unauthorized access to data or assets may be greater in computerized accounting systems than in manual systems.
Required:
Discuss the impact on the internal control system and the independent audit.
Chapter 4 Solutions
Accounting Information Systems
Ch. 4 - Prob. 1RQCh. 4 - Prob. 2RQCh. 4 - Describe each symbol used in constructing DFDs.Ch. 4 - Prob. 4RQCh. 4 - Prob. 5RQCh. 4 - Prob. 6RQCh. 4 - What is a logical DFD?Ch. 4 - Prob. 8RQCh. 4 - When is a set of DFDs balanced (i.e., leveled)?Ch. 4 - Prob. 10RQ
Ch. 4 - Prob. 11RQCh. 4 - Prob. 12RQCh. 4 - Prob. 13RQCh. 4 - Prob. 14RQCh. 4 - Prob. 15RQCh. 4 - Prob. 16RQCh. 4 - How will systems documentation differ between...Ch. 4 - Prob. 1DQCh. 4 - Prob. 2DQCh. 4 - Prob. 3DQCh. 4 - Prob. 1SPCh. 4 - Prob. 2SPCh. 4 - Narrative 1: Freshplace Grocery At Freshplace...Ch. 4 - Prob. 4SPCh. 4 - Narrative 1: Freshplace Grocery At Freshplace...Ch. 4 - Prob. 6SPCh. 4 - Prob. 1PCh. 4 - Prepare a narrative to describe the system...Ch. 4 - Prob. 3PCh. 4 - Narrative 1: Good Buy, Inc (good-buy.com) Good...Ch. 4 - Prob. 5PCh. 4 - Prob. 6PCh. 4 - Narrative 1: Good Buy, Inc (good-buy.com) Good...Ch. 4 - Prob. 8P
Knowledge Booster
Similar questions
- (ANSWER IN PARAGRAPH FORM) What are the most effective tools and techniques used in auditing IT systems and processes, and how do they help auditors identify and mitigate IT-related risks in a CIS environment?arrow_forwardAs IT auditors, it's critical that we establish a common "risk" language with management. Importantly, this common language should consider: a) How an IT risk may impact the organization's ability to generate revenue. b) How an IT risk may impact the customer experience. c) How an IT risk may impact the expenses and costs incurred by the organization, such as privacy legal fines for non-compliance. d) All of the abovearrow_forward(ANSWER IN PARAGRAPH FORM) What are the most significant challenges that auditors face when assessing the effectiveness of Internal Control Information Technology General Controls (ITGC), and how can these challenges be overcome in order to ensure the reliability and integrity of IT systems and processes in a CIS environment?arrow_forward
- 1. Computer Assisted Audit Techniques (CAATs) are important tools than an IS auditor uses to gather and analyze data during an IS audit. One type of tool is the Generalized Audit Software (GAS). In your own words, how does CAATs affect the work of an IS auditor? What are the benefits of using CAATs in conducting an Audit? 2. Every organization has controls in place. Such controls must be effective. They are effective if they prevent, detect, or contain incidents and enable recovery from events that cause risks. Enumerate those three types of control and explain how these controls effectively address those events that cause risksarrow_forwardPerformance Task #1. Introduction to PSA 401 Instructions: Provide for the requirements given to you below. Output must be placed in a Microsoft Word following the formats specified. Your answers must be in paragraphs and must contain first person point of view. God bless! 1. Explain the sentence "The overall objective and scope of an audit does not change in a CIS environment. However, the use of a computer changes the processing, storage and communication of financial information and may affect the accounting and internal control systems employed by the entity." 2. Explain why the auditor should have sufficient knowledge of the CIS to plan, direct, supervise and review the work performed. 3. Differentiate the process of planning the audit in a manual system and a computerized system. 4. Identify the risks of using a computerized system in the process of audit. 5. Explain the sentence "The auditor's specific audit objectives do not change whether accounting data is processed manually…arrow_forwardS1: The role played by the audit committee is so significant that an ineffective audit committee or lack of it influences the auditor's assessment of the control environment. S2: Making the narrative description to document understanding of client's internal control is less time consuming compared to merely checking the answer columns in the ICQ method. S3: After obtaining sufficient knowledge about the internal control structure and verifying that the policies and procedures have actually been placed in operation, the next step would be to determine the planned assessed level of control risk for the different financial statement assertions. A. all statements are true B. all statements are false C. S1 and S2 are true D. S1 and S3 are truearrow_forward
- The increasing use of sophisticated EDP systems has produced significant changes in the accounting environment. The changes are: Computer processing uniformly subjects like transactions to the same processing instructions. Required: Discuss the impact on the internal control system and the independent audit.arrow_forward1. Standards requires auditors obtain an understanding of an organization’s control environment. Discuss two techniques that may be used to obtain such understanding. PLease answer this thank you:)arrow_forwardThe increasing use of sophisticated EDP systems has produced significant changes in the accounting environment. The changes are: Documents that are used to enter information into the computer may exist for only a short time or only in computer-readable form. In some computer systems, input documents may not exist at all, because the information is entered directly into the system. Required: Discuss the impact on the internal control system and the independent audit.arrow_forward
- Why is there a need on the part of the client entity to monitor internal controls over time? a. Because the auditor needs to obtain understanding of internal control b. Because unmonitored controls tend to deteriorate over time c. Because it will affect the timing of substantive audit procedures d. Because it is a requirement of the applicable financial reporting frameworkarrow_forwardA CIS environment exists when a computer of any type o. size is involved in the processing of an entity's financial information. If an auditor is involved in the configuration and system development prior to the implementation, is the financial information is considered reliable and free from error?arrow_forward⦁ What are the basic audit procedures usually used by external auditors? ⦁ What do you understand by internal control? Discuss the auditor’s duty in terms of the internal control system.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Auditing: A Risk Based-Approach to Conducting a Q...AccountingISBN:9781305080577Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:South-Western College Pub
Auditing: A Risk Based-Approach (MindTap Course L...AccountingISBN:9781337619455Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:Cengage Learning
Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
Auditing: A Risk Based-Approach to Conducting a Q...
Accounting
ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:South-Western College Pub
Auditing: A Risk Based-Approach (MindTap Course L...
Accounting
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Cengage Learning
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,