CIS Environment Audit Questions

Which statement is incorrect when auditing in a CIS environment?

• A CIS environment exists when a computer of any type or size is involved in the processing by the entity of financial information of significance to the audit, whether that computer is operated by the entity or by a third party.

• The use of a computer changes the processing, storage and communication of financial information and may affect the accounting and internal control systems employed by the entity.

• A CIS environment changes the overall objective and scope of an audit.

• The auditor should consider how a CIS environment affects the audit.

In the context of auditing, which of the following factors is least relevant when assessing the necessity for specialized CIS expertise?

• The auditor must evaluate the impact of the CIS on the overall audit strategy and risk assessment.

• The auditor should analyze the internal controls and their relation to the CIS framework.

• It is essential for the auditor to conduct detailed tests of controls and substantive procedures.

• The auditor's requirement to perform risk assessments during the planning phase of the audit.

The nature of the risks and the internal characteristics in CIS environment that the auditors are mostly concerned include the following except:

• Lack of segregation of functions.

• Dependence of other control over computer processing.

• Lack of transaction trails.

• Cost-benefit ratio.

Which of the following significance and complexity of the CIS activities should an auditor least understand?

• The organizational structure of the client's CIS activities.

• Lack of transaction trails.

• The significance and complexity of computer processing in each significant accounting application.

• The use of software packages instead of customized software.

Which of the following statements accurately describes the capabilities of personal computers?

• Personal computers are designed primarily for individual use and can perform a wide range of tasks including word processing, internet browsing, and gaming.

• All personal computers come with built-in graphics cards that are suitable for high-end gaming.

• Personal computers are limited to running only one application at a time due to their hardware constraints.

• Modern personal computers can connect to various peripherals and networks, enhancing their functionality.

Which of the following is an inherent characteristic of software package?

• They are typically used without modifications of the programs.

• The programs are tailored-made according to the specific needs of the user.

• They are developed by software manufacturer according to a particular user's specifications.

• It takes a longer time of implementation.

Which of the following is not normally a removable storage media?

• Compact disk

• Diskettes

• Tapes

• Hard disk

Which of the following statements is true about the security measures in a personal computer environment?

• In a personal computer environment, security measures are often more stringent than in a centralized system.

• Users in a personal computer environment typically have more control over security settings than in a centralized environment.

• Most personal computers come with pre-installed security software that is sufficient for all users.

• Regular updates and patches are less critical in a personal computer environment compared to a centralized system.

When considering the security of personal computers, it is important to implement measures to prevent unauthorized access. Which of the following is least likely to be an effective physical security measure for protecting personal computers when they are not in use?

• Installing a biometric access control system.

• Using a cable lock to secure the computer to a desk.

• Employing a security guard to monitor the area.

• Utilizing software firewalls to block unauthorized access.

Which of the following least likely protects critical and sensitive information from unauthorized access in a personal computer environment?

• Using secret file names and hiding the files.

• Keeping of back-up copies offsite.

• Employing passwords.

• Segregating data into files organized under separate file directories.