Access Procedure – Accounting & Finance Quiz
The key terms in these Finance chapters include Access Procedure.
Which statement below is incorrect regarding program modifications?
When a program change is submitted for approval, a list of all required updates should be compiled and then approved by management and program users.
During the change process, the developmental version of the program must be kept separate from the production version.
After the modified program has received final approval, the change is implemented by replacing the developmental version with the production version.
Only material program changes should be thoroughly tested and documented. – Correct
Marking transactions with a special code, recording them and their master file records before and after processing, and storing the data to later verify that all processing steps were properly executed is an example of
snapshot technique. – Correct
integrated test facility.
system control audit review file.
Which of the following is not an information systems audit test of controls?
Observe computer-site access procedures.
Examine the results of disaster recovery plan simulations.
Review logical access policies and procedures. – Correct
Investigate how unauthorized access attempts are handled.
The information systems audit objective that pertains to protect computer equipment, programs, communications, and data from unauthorized access, modification, or destruction is known as
overall security. – Correct
Each specific data item in an XBRL document is called a(n)
element. – Correct
XBRL stands for
extensive business report logic.
external business reporting language.
extensible business reporting language. – Correct
external business reporting ledgers.
If an organization asks you to disclose your date of birth and your address, but refuses to let you review or correct the information you provided, the organization has likely violated which of the Generally Accepted Privacy Principles?
Access. – Correct
Choice and consent.
Abbie Johnson is a programmer at Healtheast network. Abbie has recently developed a new computer program for Healtheast. As part of the testing process, Abbie needs to use realistic patients data to ensure that the system is working properly. To protect privacy, management at Healtheast uses a program that replaces private patient information with fake values before sending the data to Abbie for testing. The program that replaces patient information with fake values is called
data masking. – Correct
If an organization asks you to disclose your date of birth and your address, but fails to establish any procedures for responding to customer complaints, the organization has likely violated which of the Generally Accepted Privacy Principles?
Monitoring and enforcement. – Correct
________ is not a basic activity of the revenue cycle.
Sales order entry
Receiving – Correct
Which of the following is not a general threat to the revenue cycle?
inaccurate master data
unauthorized disclosure of sensitive information
loss of customers – Correct
During the sales order entry process, a ________ is performed to verify that each transaction record contains all appropriate data items.
redundant data check
completeness test – Correct
An auditor sets an embedded audit module to flag questionable online transactions, display information about the transaction on the auditor’s computer, and send a text message to the auditor’s cell phone. The auditor is using
continuous and intermittent simulation.
the snapshot technique.
audit hooks. – Correct
a system control audit review file.
Andile Uzoma is the CEO of Chibuzo Incorporated. The board of directors has recently demanded that they receive more assurance that internal controls surrounding the company’s information system are effective. Which type of audit would best suit the demands of the board of directors?
Information system audit. – Correct
Who should provide the adjusting entries in a well-designed general ledger and reporting system?
Anyone who has access to the other major AIS subsystems.
The controller office. – Correct
The treasurer department.
Various user departments.
A type of data entry control that would ensure that adjusting entries are posted to existing general ledger accounts is called a(n) ________ check.
closed loop verification
validity – Correct
Which of the following is an example of an ERP system?
Betty has a system that keeps track of the accounts payable and receivable for her plumbing business. At the end of the year, the system helps her to prepare her taxes in just two hours.
Charlie keeps records of all his business records in a shoe box. Each week he enters all of the data into spreadsheets that automatically generate purchase orders, based on predetermined inventory reorder points. Production quotas for the coming week are also automatically generated based on customer orders.
Alexis uses a computerized information system to keep track of all the financial data generated by her bakery. She is considering opening a new bakery on the east side of town.
Doug is a freelance photographer. He keeps records of all expenses and revenues on his cell phone and then e-mails them to himself every month. The files are stored on his personal computer and backed up to CD quarterly.
Encryption is a necessary part of which information security approach?
Synthetic based defense.
Time based defense.
Defense in depth. – Correct
Encryption is not a panacea to protecting confidential information.
True – Correct
Which of the following balanced scorecard dimensions provides measures on new products?
Innovation and learning. – Correct
Variances for variable costs will be misleading when the planned output differs from budgeted output. A solution to this problem would be
to allow more judgement involve in the budgeting process.
to use flexible budgeting. – Correct
A serious exposure in the revenue cycle is loss of assets. What is the related threat and applicable control procedure that address this exposure?
theft of cash; segregation of duties and minimization of cash handling – Correct
making sales that turn out to be uncollectible; force sales people to make collection calls on customers with past due balances
shipping errors; reconciliation of sales order with picking ticket and packing slip
poor performance; preparation and review of performance reports