When using test data, why are audit teams required to prepare only one transaction to test each IT control?a. The speed and efficiency of the computer results in reduced sample sizes.b. The risk of misstatement is typically lower in an IT environment.c. Audit teams generally perform more extensive substantive testing in an IT environment, resulting in less need to test processing controls.d. In an IT environment, each transaction is handled in an identical manner.
When using test data, why are audit teams required to prepare only one transaction to test each IT control?a. The speed and efficiency of the computer results in reduced sample sizes.b. The risk of misstatement is typically lower in an IT environment.c. Audit teams generally perform more extensive substantive testing in an IT environment, resulting in less need to test processing controls.d. In an IT environment, each transaction is handled in an identical manner.
Accounting Information Systems
10th Edition
ISBN:9781337619202
Author:Hall, James A.
Publisher:Hall, James A.
Chapter16: Auditing It Controls Part Iii: Systems Development, Program Changes, And Application Auditing
Section: Chapter Questions
Problem 1MCQ
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When using test data, why are audit teams required to prepare only one transaction to test each IT control?
a. The speed and efficiency of the computer results in reduced sample sizes.
b. The risk of misstatement is typically lower in an IT environment.
c. Audit teams generally perform more extensive substantive testing in an IT environment, resulting in less need to test processing controls.
d. In an IT environment, each transaction is handled in an identical manner.
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