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

A(n)____ is a computer abuse technique where unauthorized instructions are inserted into a program to systematically steal very small amounts,usually by rounding to the nearest cent in financial transactions.

The third level of protection in the control hierarchy is:

Discrepancies between data items recorded by a system and the underlying economic events or objects they represent are a violation of the control goal of:

Control plans that relate to a multitude of goals and processes are called ______________________________.

A(n)______________________________ is a tool designed to assist you in evaluating the potential effectiveness of controls in a business process by matching control goals with relevant control plans.

This framework was issued in 1996 (and updated in 2007)by the Information Systems Audit and Control Association (ISACA)because of the influence of IT over information systems,financial reporting and auditing.

According to the COSO Fraudulent Financial Reporting 1998- 2007 update:

Which component of the ERM framework is best described here: Internal and external events affecting achievement of an entity's objectives must be identified,distinguishing between risks and opportunities.Opportunities are channeled back to management's strategy or objective-setting processes.

Establishing a viable internal control system is the responsibility of ______________________________.

Which of the following statements regarding a system of internal control is false?

Business process control plans relate to those controls particular to a specific process or subsystem,such as billing or cash receipts.

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

Below is a list of control goals followed by a list of short scenarios describing system failures (i.e. ,control goals not met)and/or instances of successful control plans (i.e. ,plans that helped to achieve control goals). Required: On the blank line to the left of each numbered scenario,place the capital letter of the control goal that best matches the situation described.HINT: Some letters may be used more than once.Conversely,some letters may not apply at all.

The control goal called efficiency of operations strives to assure that a given operations system is fulfilling the purpose(s)for which it was intended.

The effect of an event's occurrence is:

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.

_____________ control plans relate to a multitude of goals and processes.

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

A programming error causes the sale of an inventory item to be added to the quantity on hand attribute in the inventory master data.Which control goal was not achieved?

The control goal of ensure ______________________________ provides assurance that objects or events which were entered into the computer are in reflected correctly in their respective master data.