Question 1

The major reasons for exercising control of the organization's business processes include:

Accepted Answer

A) to provide reasonable assurance that the goals of the business are being achieved 
B) to mitigate risks of fraud and other intentional and unintentional acts 
C) to provide reasonable assurance that the company is in compliance with applicable legal and regulatory obligations 
D) all of the above 
A) to provide reasonable assurance that the goals of the business are being achieved 
B) to mitigate risks of fraud and other intentional and unintentional acts 
C) to provide reasonable assurance that the company is in compliance with applicable legal and regulatory obligations 
D) all of the above

Question 2

Risk assessment is best described by:

Accepted Answer

A) Internal and external events affecting achievement of an entity's objectives must be identified, distinguishing between risks and opportunities. 
B) Management selects whether to avoid, accept, reduce, or share risk - developing a set of actions to align risks with the entity's risk tolerances and risk appetite. 
C) The entirety of enterprise risk management is monitored and modifications made as necessary. 
D) The likelihood and impact of risks are analyzed, as a basis for determining how they should be managed. 
A) Internal and external events affecting achievement of an entity's objectives must be identified, distinguishing between risks and opportunities. 
B) Management selects whether to avoid, accept, reduce, or share risk - developing a set of actions to align risks with the entity's risk tolerances and risk appetite. 
C) The entirety of enterprise risk management is monitored and modifications made as necessary. 
D) The likelihood and impact of risks are analyzed, as a basis for determining how they should be managed.

Question 3

____ sets the tone of the organization, influencing the control consciousness of its people.

Accepted Answer

A) Control environment 
B) Risk assessment 
C) Control activities 
D) Monitoring 
A) Control environment 
B) Risk assessment 
C) Control activities 
D) Monitoring

Question 4

A(n) _________________________ is a computer abuse technique in which unauthorized code is inserted in a program, which, when activated, could cause a disaster such as shutting down a system or destroying data.

Accepted Answer

The answer of A(n) _________________________ is a computer abuse technique...

Question 5

______________________________ are applied to all IT service activities.

Accepted Answer

The answer of ______________________________ are applied to all IT service...

Question 6

The section of Sarbanes Oxley that prohibits a CPA firm that audits a public company from engaging in certain non-audit services with the same client is:

Accepted Answer

A) Title I - Public Company Accounting Oversight Board 
B) Title II - Auditor Independence 
C) Title III - Corporate Responsibility 
D) Title IV - Enhanced Financial Disclosures 
A) Title I - Public Company Accounting Oversight Board 
B) Title II - Auditor Independence 
C) Title III - Corporate Responsibility 
D) Title IV - Enhanced Financial Disclosures

Question 7

____ are the policies and procedures that help ensure that management directives are carried out.

Accepted Answer

A) Control environment 
B) Risk assessment 
C) Control activities 
D) Monitoring 
A) Control environment 
B) Risk assessment 
C) Control activities 
D) Monitoring

Question 8

The external environment is a system of integrated elements--people, structures, processes, and procedures--acting together to provide reasonable assurance that an organization achieves both its operations system and its information system goals.

Accepted Answer

A) True 
 B)False

Question 9

Elements of a control environment might include the following except:

Accepted Answer

A) organization values and norms 
B) management philosophy and operating style 
C) means of communications 
D) reward systems 
A) organization values and norms 
B) management philosophy and operating style 
C) means of communications 
D) reward systems

Question 10

A batch of business events is accurately entered into a business event data, but the computer operator fails to use the data to update master data.This type of processing error would be classified as an operational error.

Accepted Answer

A) True 
 B)False

Question 11

Establishing a viable internal control system is primarily the responsibility of:

Accepted Answer

A) the external auditors 
B) management 
C) programmers 
D) government authorities 
A) the external auditors 
B) management 
C) programmers 
D) government authorities

Question 12

A measure of success in meeting a set of established goals is called system:

Accepted Answer

A) effectiveness 
B) monitoring 
C) efficiency 
D) control goals 
A) effectiveness 
B) monitoring 
C) efficiency 
D) control goals

Question 13

______________________________ includes crime in which the computer is the target of the crime or the means used to commit the crime.

Accepted Answer

The answer of ______________________________ includes crime in which the computer...

Question 14

The section of Sarbanes Oxley that establishes an independent board to oversee public company audits is:

Accepted Answer

A) Title I - Public Company Accounting Oversight Board 
B) Title II - Auditor Independence 
C) Title III - Corporate Responsibility 
D) Title IV - Enhanced Financial Disclosures 
A) Title I - Public Company Accounting Oversight Board 
B) Title II - Auditor Independence 
C) Title III - Corporate Responsibility 
D) Title IV - Enhanced Financial Disclosures

Question 15

The section of Sarbanes Oxley that provides for fines and imprisonment of up to 20 years to individuals who corruptly alter, destroy, mutilate, or conceal documents with the intent to impair the document's integrity or availability for use in an official proceeding, or to otherwise obstruct, influence or impede any official proceeding is:

Accepted Answer

A) Title V - Analysts Conflicts of Interests 
B) Title VIII - Corporate and Criminal Fraud Accountability 
C) Title IX - White-Collar Crime Penalty Enhancements 
D) Title XI - Corporate Fraud and Accountability 
A) Title V - Analysts Conflicts of Interests 
B) Title VIII - Corporate and Criminal Fraud Accountability 
C) Title IX - White-Collar Crime Penalty Enhancements 
D) Title XI - Corporate Fraud and Accountability

Question 16

A major reason management must exercise control over an organization's business processes is to provide reasonable assurance that the company is in compliance with applicable legal and regulatory obligations.

Accepted Answer

A) True 
 B)False

Question 17

The control goal of ensuring input materiality strives to prevent fictitious items from entering an information system.

Accepted Answer

A) True 
 B)False

Question 18

Three terms used in the chapter to refer to when a control plan is exercised are ____________________, ____________________, and corrective control plans.

Accepted Answer

preventive

Question 19

Monitoring is a process that assesses the quality of internal control performance over time.

Accepted Answer

A) True 
 B)False

Question 20

The section of Sarbanes Oxley that has received the most press as companies and their auditors have struggled to comply with its requirements is ______________________________.

Accepted Answer

The answer of The section of Sarbanes Oxley that has...

The major reasons for exercising control of the organization's business processes include:

Risk assessment is best described by:

____ sets the tone of the organization, influencing the control consciousness of its people.

A(n) _________________________ is a computer abuse technique in which unauthorized code is inserted in a program, which, when activated, could cause a disaster such as shutting down a system or destroying data.

______________________________ are applied to all IT service activities.

The section of Sarbanes Oxley that prohibits a CPA firm that audits a public company from engaging in certain non-audit services with the same client is:

____ are the policies and procedures that help ensure that management directives are carried out.

The external environment is a system of integrated elements--people, structures, processes, and procedures--acting together to provide reasonable assurance that an organization achieves both its operations system and its information system goals.

Elements of a control environment might include the following except:

A batch of business events is accurately entered into a business event data, but the computer operator fails to use the data to update master data.This type of processing error would be classified as an operational error.

Establishing a viable internal control system is primarily the responsibility of:

A measure of success in meeting a set of established goals is called system:

______________________________ includes crime in which the computer is the target of the crime or the means used to commit the crime.

The section of Sarbanes Oxley that establishes an independent board to oversee public company audits is:

A major reason management must exercise control over an organization's business processes is to provide reasonable assurance that the company is in compliance with applicable legal and regulatory obligations.

The control goal of ensuring input materiality strives to prevent fictitious items from entering an information system.

Three terms used in the chapter to refer to when a control plan is exercised are , , and corrective control plans.

Monitoring is a process that assesses the quality of internal control performance over time.

The section of Sarbanes Oxley that has received the most press as companies and their auditors have struggled to comply with its requirements is ______________________________.

Introduction to Accounting Information Systems

Enterprise Systems

Electronic Business E-Business Systems

Documenting Information Systems

Database Management Systems

Relational Databases and Sql

Controlling Information Systems: Introduction to Pervasive Controls

Controlling Information Systems: Business Process and Application Controls

The Order Entrysales Oes Process

The Billingaccounts Receivable Cash Receipts Barcr Process

The Purchasing Process

Accounts Payablecash Disbursements Apcd Process

The Human Resources Process HR Management and Payroll Processes

Integrated Production Processes IPP

General Ledger and Business Reporting Glbr Process

Acquiring and Implementing Accounting Information Systems

Filters

Exam 7: Controlling Information Systems: Introduction to Enterprise Risk Management and Internal Control

The major reasons for exercising control of the organization's business processes include:

Risk assessment is best described by:

____ sets the tone of the organization, influencing the control consciousness of its people.

A(n) _________________________ is a computer abuse technique in which unauthorized code is inserted in a program, which, when activated, could cause a disaster such as shutting down a system or destroying data.

______________________________ are applied to all IT service activities.

The section of Sarbanes Oxley that prohibits a CPA firm that audits a public company from engaging in certain non-audit services with the same client is:

____ are the policies and procedures that help ensure that management directives are carried out.

The external environment is a system of integrated elements--people, structures, processes, and procedures--acting together to provide reasonable assurance that an organization achieves both its operations system and its information system goals.

Elements of a control environment might include the following except:

A batch of business events is accurately entered into a business event data, but the computer operator fails to use the data to update master data.This type of processing error would be classified as an operational error.

Establishing a viable internal control system is primarily the responsibility of:

A measure of success in meeting a set of established goals is called system:

______________________________ includes crime in which the computer is the target of the crime or the means used to commit the crime.

The section of Sarbanes Oxley that establishes an independent board to oversee public company audits is:

A major reason management must exercise control over an organization's business processes is to provide reasonable assurance that the company is in compliance with applicable legal and regulatory obligations.

The control goal of ensuring input materiality strives to prevent fictitious items from entering an information system.

Three terms used in the chapter to refer to when a control plan is exercised are ____________________, ____________________, and corrective control plans.

Monitoring is a process that assesses the quality of internal control performance over time.

The section of Sarbanes Oxley that has received the most press as companies and their auditors have struggled to comply with its requirements is ______________________________.

Introduction to Accounting Information Systems

Enterprise Systems

Electronic Business E-Business Systems

Documenting Information Systems

Database Management Systems

Relational Databases and Sql

Controlling Information Systems: Introduction to Pervasive Controls

Controlling Information Systems: Business Process and Application Controls

The Order Entrysales Oes Process

The Billingaccounts Receivable Cash Receipts Barcr Process

The Purchasing Process

Accounts Payablecash Disbursements Apcd Process

The Human Resources Process HR Management and Payroll Processes

Integrated Production Processes IPP

General Ledger and Business Reporting Glbr Process

Acquiring and Implementing Accounting Information Systems

Filters

Three terms used in the chapter to refer to when a control plan is exercised are , , and corrective control plans.