|2. Auditing an accounting information system requires knowledge and skills in both accounting and computers. However, most auditors may not have sufficient expertise in the technical side of computing and information systems. Given today's business environment, how much computer- and information systems-related knowledge and skills must an auditor have to be effective in performing auditing? LO 15-2, E LO 15-3

|2. Auditing an accounting information system requires knowledge and skills in both accounting and computers. However, most auditors may not have sufficient expertise in the technical side of computing and information systems. Given today's business environment, how much computer- and information systems-related knowledge and skills must an auditor have to be effective in performing auditing? LO 15-2, E LO 15-3

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter1: Auditing: Integral To The Economy

Section: Chapter Questions

Problem 20MCQ

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Similar questions

1. Would an auditing-standard convergence prevent fraud at the top-executive level? If No, how to deter top executives from engaging in illegal conduct? 2. As an accounting professional, what can you do better than a machine or artificial intelligence? If accounting and auditing standards are 100% rules-based without any judgment, would there be more or less accounting jobs for us?
1. a. Why are documentation, visualization, and business process mapping important to accounting information systems auditors? b. Why should accountants be interested in AIS documentation? 2. How are data analytics tools helping accountants and auditors? 3. a. Explain why auditors’ communication skills are so important. b. Give examples of where these skills would be necessary in each phase of an audit engagement. c. In this age of high technology and computer-based information systems, why are accountants/auditors concerned about physical (human) controls?
13. Which of the following is NOT an obligation or duties of an auditor? a. Inspect account books and accounting systems for efficiency b. Prepare detailed reports on audit findings c. Examine and evaluate financial and information systems d. Helps to prepare the financial statements of companies
5. Which of the following is not a risk in a computerized information system (CIS) a. need for CIS experienced staff b. separation of CIS duties from accounting functions c. improved audit trail d. hardware and data vulnerability Required: choose the correct answer and Justify your answers in at least 6 sentences.
6. Management accountant heavily depends on internal financial controls like_______ to plug loopholes in the financial system of the concern. a. Internal Check b. Internal Audit c. Internal Control d. All the given options
1) Why is Responsibility Accounting necessary and how is it implemented? 2) Determination of control risk in the HR cycle (personnel) include an example of the explanation you gave? 3) To design an audit program for testing controls, what stages must the auditor go through when auditing a banking service company?
(This subject is about Accounting Information System.) 1. Because all fraud involves some form of financial misstatement, how is fraudulent statement fraud different? 2. Explain the problems associated with lack of auditor independence. 3. Why is an independent audit committee important to a company? 4. In this age of high technology and computer-based information systems, why are accountants concerned about physical (human) controls? Please provide me a correct answer and PLEASE NO PLAGIARISM. Thank you!!
14.Which of the following control objectives in the General Ledger activities under the Record-to-Report process is least likely to have more extensive audit procedures for a business in an industry with fewer regulations? Group of answer choices To ensure that the general ledger and management accounts are accurate, reliable, and appropriately reflect the structure and operations of the organization. To ensure that the accounting records are maintained in accordance with the prevailing laws, regulations, and professional good practice. To ensure that the accounting information can be used to generate all the required statutory published accounting statements. To ensure that the accounting data is capable of meaningful and accurate analysis to support management decisions and actions.
45 When considering the effectiveness of internal control, the auditor should recognize that inherent limitations do exist. Which of the following is an example of inherent limitations in a client's internal control? Group of answer choices Procedures are designed to assure the execution and recording of transactions in accordance with management's authorization. In the performance of most control procedures, there are possibilities of errors arising from mistakes in judgment. The effectiveness of procedures depends on the segregation of employee duties. Procedures for handling large numbers of transactions are processed by electronic data processing equipment.
20. The following are characteristics that may signal important information to the auditor about management's philosophy and operating style EXCEPT Group of answer choices Management's attitudes and actions toward financial reporting Management's attitudes toward information processing and accounting functions and personnel None of the choices Management's approach to taking and monitoring business risks Management’s take on the economic factors affecting business model