In auditing through the computer, CPAs may use test data. (1) What are test data? (2) Why do CPAs use test data?

Q: In reviewing the process procedures and internal controls of one of your audit clients, Steeplechase…

A: Internal controls means the control related to internal functions of the system and its procedures.

Q: Which of the following is false about accounting information systems?A. They provide reports that…

A: Accounting is the process of recording, classifying and summarising accounting information in order…

Q: List the management reports and computer files that can be used for audit evidence. What information…

A: Audit Evidence:   Evidences obtained by auditor after applying various audit procedures to verify…

Q: When an auditor tests the internal controls of a computerized accounting system, which of the…

A: Internal controls are the procedures that are implemented for controlling the fraudulent activities…

Q: The purpose of an audit trail is to be able to trace a transaction from its original through source…

A: The audit trail for goods returned by customers means checking whether the goods which are returned…

Q: type of the auditors

A: Audit of internal controls is done to ensure whether control function regarding each transaction is…

Q: You are an independent auditor attending an engagement interview with the client. The client’s…

A: Data Warehouse: Data warehouse refers to a database which helps in making business decisions. The…

Q: An audit trail is a step-by-step record by which accounting data can be traced to its source.…

A: Vouching refers to checking the business transactions with their respective source documents.

Q: Dean Tomaszczyk was training junior audit staff and mentioned the importance of third party…

A: External Confirmation It is the process of receiving and analysing audit evidence from a third party…

Q: CPAs may audit around or through computers in the examination of financial statements of client who…

A: Auditing is explained as a process used by the auditor in examining records of the organization and…

Q: .Explain the relation ship between application controls and transaction related audit objectives .…

A:

Q: A CIS environment exists when a computer of any type o. size is involved in processing of an…

A: Answer: CIS is defined as one of information system which is based on computer information system.…

Q: ider “control environment.” Why it is important for auditors to understand a client’s control…

A: A controlled environment refers to the term "Internal control environment" which implies that the…

Q: The CARE Corporation uses an IBM mainframe computer system with peripheral optical reader and…

A: Standards on Auditing provide a measure to ensure quality of auditing and achieve the objectives of…

Q: Organizations often rely on their in-house audit department to ensure that their internal controls…

A: The internal audit ensures that an organization's risk management, governance, and internal control…

Q: Your client has outsourced the majority of the accounting information system to a third-party data…

A: The fact that your client has outsourced the majority of its accounting information system to a 3rd…

Q: Spreadsheet software would be most useful for which of the following audit activities?a. Testing…

A:

Q: Auditing standards are: a. Ways to obtain / collect proof of transaction b. A collection of rules…

A: Audit is defined as the examination of the books of accounts or financial statement of the entity…

Q: CPAs may audit around or through computers in the audit of the financial statements of clients who…

A: Auditing Around the Computer: It is an auditing approach that is used to test or check the…

Q: CPAs may audit around or through computers in the audit of the financial statements of clients who…

A: Auditing is a gathering of information and evaluation of evidence as to report on the degree of…

Q: Which of the following is most correct with respect to the use of analytical procedures? *…

A: As per the SA 520 Analytical Procedures means evaluation of financial information through analysis…

Q: Which of the following is an example of an input control? a.making sure report that are distributed…

A: Input controls are used to obtain responses from the interview user. each input control has…

Q: Computer accounting control procedures are referred to as general or application controls. The…

A: Application controls in a computer environment refers to the controls that are related to the…

Q: A primary advantage of using generalized audit software packages to audit the financial statements…

A: The primary advantage of using a prepacked audit system is determine by the use cases.

Q: A document which the auditor receives from client ,but which was prepared by someone outside the…

A: Auditing is the process of examination or verification of books of accounts of the business in order…

Q: What do documentation procedures and independent internal verification procedures have in commor O…

A: Documentation procedures and independent internal verification procedures is part of internal…

Q: Explain the sentence "The overall objective and scope of an audit does not change in a CIS…

A: Audit procedure is different types of steps that are followed by an auditor while conducting the…

Q: The primary objective of compliance auditing is toa. Give an opinion on financial statements.b.…

A: Auditing: Auditing is the process by which assertions made by management about financial…

Q: audit of accounting information system

A: Auditing means checking the elements of financial statements to ensure that they show the true…

Q: A CPA may receive a commission for recommending a particular computer system to an audit client.…

A: As per AICPA Code of professional conduct a violation has been occurred if a CPA receives any…

Q: Auditors seek to understand a client's internal control in order to better serve their clients.

A: This question tells about Auditors seek to understand a client's internal control in order to better…

Q: When processing controls within the accounting information system may not leave visible evidence…

A: When processing controls within the accounting information system may not leave visible evidence…

Q: Reading BOD minutes of meeting by the internal auditors is an example of an audit procedures called:…

A: An auditor is a person appointed to check the accuracy of the financial statements of the company.

Q: AICPA Independence and Other Services. The Independence Rule of the AICPA Code of Conduct cites…

A:

Q: Which of the following is NOT a general control?* a. Backup of live data b. Use of passwords c.…

A: For data protection and IT security, various types of internal controls is implemented by the…

Q: What do documentation procedures and independent internal verification procedures have in comm O…

A: Internal control are the procedures and policies that ensure the safeguarding of Assets and reduce…

Q: CPAs may audit around or through computers in the examination of financial statements of clients who…

A: Auditing means the inspection of financial accounts of the company to determine if the records are…

Q: Answer the below: What do you understand by attestation services? Discuss the responsibility and…

A: Attestation Services:-These are services when a certified Public Accountant (CPA) expresses his…

Q: CPAs may audit around or through computers in the examination of financial statements of clients who…

A: Audit is defined as inspection of the books of the accounts through auditor followed through…

Q: Which of the following is a device designed to help the audit team obtain evidence about…

A: The auditor needs to identify and analyze the internal control for determining further audit…

Q: The audit documentation are the connecting link between the client's accounting records, financial…

A: Auditing is reviewing the financial statement of the company and giving an opinion on whether the…

Q: CPAs may audit around or through computers in the audit of the financial statements of clients who…

A: An audit is the unbiased and independent examination of financial records and statements of an…

Q: What are the basic audit procedures usually used by external auditors?

A: Note -Since you have posted multiple questions, we are providing the solution for the first…

Q: (2) ( > Which of the following audit procedures for obtaining audit evidence is correctly described?…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: You are a trainee in audit firm and you have been assigned to verify the follow balances for IJK…

A: The question is based on the concept of verification of assets and liabilities in auditing.

Q: Describe the differences between auditing around the computer and auditing through the computer?…

A: Auditing is the process in which the professional called auditor, performs the audit on the client…

Q: Explain all the five steps involved in the information system based audits in your own words. How…

A: Auditing Auditing is an important process in the accounting work in an organisation.  The purpose of…