The BEST method of proving the accuracy of a system tax
calculation is by:
A. detailed visual review and analysis of the source code of
the calculation programs.
B. recreating program logic using generalized audit software
to calculate monthly totals.
C. preparing simulated transactions for processing and
comparing the results to predetermined results.
D. automatic flowcharting and analysis of the source code of
the calculation programs.
- 1 Answers
- 8309 Views
- I also Faced
- E-Mail Answers
Answer / guest
Answer: C
Preparing simulated transactions for processing and
comparing the results to predetermined results is the best
method for proving accuracy of a tax calculation. Detailed
visual review, flowcharting and analysis of source code are
not effective methods, and monthly totals would not address
the accuracy of individual tax calculations.
| Is This Answer Correct ? | 7 Yes | 0 No |
An organization's disaster recovery plan should address early recovery of: A. all information systems processes. B. all financial processing applications. C. only those applications designated by the IS manager. D. processing in priority order, as defined by business management.
Controls designed to ensure that unauthorized changes are not made to information residing in a computer file are known as: A. data security controls. B. implementation controls. C. program security controls. D. computer operations controls.
Which of the following security techniques is the BEST method for authenticating a user's identity? A. Smart card B. Biometrics C. Challenge-response token D. User ID and password
Antivirus software should be used as a: A. detective control. B. preventive control. C. corrective control. D. compensating control.
A referential integrity constraint consists of: A. ensuring the integrity of transaction processing. B. ensuring that data are updated through triggers. C. ensuring controlled user updates to database. D. rules for designing tables and queries.
As updates to an online order entry system are processed, the updates are recorded on a transaction tape and a hard-copy transaction log. At the end of the day, the order entry files are backed up on tape. During the backup procedure, a drive malfunctions and the order entry files are lost. Which of the following are necessary to restore these files? A. The previous day's backup file and the current transaction tape B. The previous day's transaction file and the current transaction tape C. The current transaction tape and the current hard-copy transaction log D. The current hard-copy transaction log and the previous day's transaction file
When evaluating the collective effect of preventive, detective or corrective controls within a process an IS auditor should be aware: A. of the point at which controls are exercised as data flows through the system. B. that only preventive and detective controls are relevant. C. that corrective controls can only be regarded as compensating. D. that classification allows an IS auditor to determine which controls are missing.
Access rules normally are included in which of the following documentation categories? A. Technical reference documentation B. User manuals C. Functional design specifications D. System development methodology documents
Which of the following BEST describes an IT department?s strategic planning process? A. The IT department will have either short-range or long-range plans depending on the organization?s broader plans and objectives. B. The IT department?s strategic plan must be time and project oriented, but not so detailed as to address and help determine priorities to meet business needs. C. Long-range planning for the IT department should recognize organizational goals, technological advances and regulatory requirements. D. Short-range planning for the IT department does not need to be integrated into the short-range plans of the organization since technological advances will drive the IT department plans much quicker than organizational plans.
The responsibility for designing, implementing and maintaining a system of internal control lies with: A. the IS auditor. B. management. C. the external auditor. D. the programming staff.
Confidential data residing on a PC is BEST protected by: A. a password. B. file encryption. C. removable diskettes. D. a key operated power source.
Which of the following systems-based approaches would a financial processing company employ to monitor spending patterns to identify abnormal patterns and report them? A. A neural network B. Database management software C. Management information systems D. Computer assisted audit techniques
Cisco Certifications 
