Question 1

Explain how IT outsourcing can lead to loss of strategic advantage.

Accepted Answer

Alignment between IT strategy and busine

Question 2

All of the following tests of controls will provide evidence about the adequacy of the disaster recovery plan except

Accepted Answer

A)  inspection of the second site backup 
B)  analysis of the fire detection system at the primary site 
C)  review of the critical applications list 
D)  composition of the disaster recovery team 
A)  inspection of the second site backup 
B)  analysis of the fire detection system at the primary site 
C)  review of the critical applications list 
D)  composition of the disaster recovery team

Question 3

An advantage of distributed data processing is that redundant tasks are greatly eliminated

Accepted Answer

A) True 
 B)False

Question 4

What are the often cited benefits of IT outsourcing?

Accepted Answer

Oft-cited benefits of IT outso

Question 5

What exposures do data consolidation in a CBIS environment pose?

Accepted Answer

In a CBIS environment,data con

Question 6

List three pairs of system functions that should be separated in the centralized computer services organization.Describe a risk exposure if the functions are not separated.

Accepted Answer

separate systems development from data p

Question 7

Distributed data processing places the control IT recourses under end users.

Accepted Answer

A) True 
 B)False

Question 8

Supervision in a computerized environment is more complex than in a manual environment for all of the following reasons except

Accepted Answer

A)  rapid turnover of systems professionals complicates management's task of assessing the competence and honesty of prospective employees 
B)  many systems professionals have direct and unrestricted access to the organization's programs and data 
C)  rapid changes in technology make staffing the systems environment challenging 
D)  systems professionals and their supervisors work at the same physical location 
A)  rapid turnover of systems professionals complicates management's task of assessing the competence and honesty of prospective employees 
B)  many systems professionals have direct and unrestricted access to the organization's programs and data 
C)  rapid changes in technology make staffing the systems environment challenging 
D)  systems professionals and their supervisors work at the same physical location

Question 9

Specific IT assets support an organization's strategic objectives.

Accepted Answer

A) True 
 B)False

Question 10

The major disadvantage of an empty shell solution as a second site backup is

Accepted Answer

A)  the host site may be unwilling to disrupt its processing needs to process the critical applications of the disaster stricken company 
B)  intense competition for shell resources during a widespread disaster 
C)  maintenance of excess hardware capacity 
D)  the control of the shell site is an administrative drain on the company 
A)  the host site may be unwilling to disrupt its processing needs to process the critical applications of the disaster stricken company 
B)  intense competition for shell resources during a widespread disaster 
C)  maintenance of excess hardware capacity 
D)  the control of the shell site is an administrative drain on the company

Question 11

Although IT governance is a broad area,only three of them are discussed in the chapter.Name them and explain why these topics were chosen.

Accepted Answer

Although all IT governance issues are im

Question 12

A widespread natural disaster is a risk associated with a ROC.

Accepted Answer

A) True 
 B)False

Question 13

A mutual aid is the lowest cost disaster recovery option,but has shown to be effective and low risk.

Accepted Answer

A) True 
 B)False

Question 14

Which is the most critical segregation of duties in the centralized computer services function?

Accepted Answer

A)  systems development from data processing 
B)  data operations from data librarian 
C)  data preparation from data control 
D)  data control from data librarian 
A)  systems development from data processing 
B)  data operations from data librarian 
C)  data preparation from data control 
D)  data control from data librarian

Question 15

A cold site backup approach is also known as

Accepted Answer

A)  internally provided backup 
B)  recovery operations center 
C)  empty shell 
D)  mutual aid pact 
A)  internally provided backup 
B)  recovery operations center 
C)  empty shell 
D)  mutual aid pact

Question 16

Why is inadequate documentation a chronic problem?

Accepted Answer

Poor-quality systems documentation is a

Question 17

All of the following tests of controls will provide evidence about the physical security of the computer center except

Accepted Answer

A)  review of fire marshal records 
B)  review of the test of the backup power supply 
C)  verification of the second site backup location 
D)  observation of procedures surrounding visitor access to the computer center 
A)  review of fire marshal records 
B)  review of the test of the backup power supply 
C)  verification of the second site backup location 
D)  observation of procedures surrounding visitor access to the computer center

Question 18

Which of the following is not true?

Accepted Answer

A)  Large-scale IT outsourcing involves transferring specific assets to a vendor 
B)  Specific assets, while valuable to the client, are of little value to the vendor 
C)  Once an organization outsources its specific assets, it may not be able to return to its pre-outsource state. 
D)  Specific assets are of value to vendors because, once acquired, vendors can achieve economies of scale by employing them with other clients 
A)  Large-scale IT outsourcing involves transferring specific assets to a vendor 
B)  Specific assets, while valuable to the client, are of little value to the vendor 
C)  Once an organization outsources its specific assets, it may not be able to return to its pre-outsource state. 
D)  Specific assets are of value to vendors because, once acquired, vendors can achieve economies of scale by employing them with other clients

Question 19

A generally accepted advantage of IT outsourcing is improved security.

Accepted Answer

A) True 
 B)False

Question 20

The following are examples of specific assets except

Accepted Answer

A) application maintenance 
B) data warehousing 
C) highly skilled employees 
D) server maintenance 
A) application maintenance 
B) data warehousing 
C) highly skilled employees 
D) server maintenance

Explain how IT outsourcing can lead to loss of strategic advantage.

All of the following tests of controls will provide evidence about the adequacy of the disaster recovery plan except

An advantage of distributed data processing is that redundant tasks are greatly eliminated

What are the often cited benefits of IT outsourcing?

What exposures do data consolidation in a CBIS environment pose?

List three pairs of system functions that should be separated in the centralized computer services organization.Describe a risk exposure if the functions are not separated.

Distributed data processing places the control IT recourses under end users.

Supervision in a computerized environment is more complex than in a manual environment for all of the following reasons except

Specific IT assets support an organization's strategic objectives.

The major disadvantage of an empty shell solution as a second site backup is

Although IT governance is a broad area,only three of them are discussed in the chapter.Name them and explain why these topics were chosen.

A widespread natural disaster is a risk associated with a ROC.

A mutual aid is the lowest cost disaster recovery option,but has shown to be effective and low risk.

Which is the most critical segregation of duties in the centralized computer services function?

A cold site backup approach is also known as

Why is inadequate documentation a chronic problem?

All of the following tests of controls will provide evidence about the physical security of the computer center except

Which of the following is not true?

A generally accepted advantage of IT outsourcing is improved security.

The following are examples of specific assets except

Auditing and Internal Control

Security Part I: Auditing Operating Systems and Networks

IT Security Part II: Auditing Database Systems

Systems Development and Program Change Activities

Overview of Transaction Processing and Financial Reporting Systems

Computer-Assisted Audit Tools and Techniques

Data Structures and CAATTs for Data Extraction

Auditing the Revenue Cycle

Auditing the Expenditure Cycle

Business Ethics, Fraud, and Fraud Detection

Enterprise Resource Planning Systems

Filters

Exam 2: Auditing IT Governance Controls

Explain how IT outsourcing can lead to loss of strategic advantage.

All of the following tests of controls will provide evidence about the adequacy of the disaster recovery plan except

An advantage of distributed data processing is that redundant tasks are greatly eliminated

What are the often cited benefits of IT outsourcing?

What exposures do data consolidation in a CBIS environment pose?

List three pairs of system functions that should be separated in the centralized computer services organization.Describe a risk exposure if the functions are not separated.

Distributed data processing places the control IT recourses under end users.

Supervision in a computerized environment is more complex than in a manual environment for all of the following reasons except

Specific IT assets support an organization's strategic objectives.

The major disadvantage of an empty shell solution as a second site backup is

Although IT governance is a broad area,only three of them are discussed in the chapter.Name them and explain why these topics were chosen.

A widespread natural disaster is a risk associated with a ROC.

A mutual aid is the lowest cost disaster recovery option,but has shown to be effective and low risk.

Which is the most critical segregation of duties in the centralized computer services function?

A cold site backup approach is also known as

Why is inadequate documentation a chronic problem?

All of the following tests of controls will provide evidence about the physical security of the computer center except

Which of the following is not true?

A generally accepted advantage of IT outsourcing is improved security.

The following are examples of specific assets except

Auditing and Internal Control

Security Part I: Auditing Operating Systems and Networks

IT Security Part II: Auditing Database Systems

Systems Development and Program Change Activities

Overview of Transaction Processing and Financial Reporting Systems

Computer-Assisted Audit Tools and Techniques

Data Structures and CAATTs for Data Extraction

Auditing the Revenue Cycle

Auditing the Expenditure Cycle

Business Ethics, Fraud, and Fraud Detection

Enterprise Resource Planning Systems

Filters