Controlling Test

Result

Controlling Test - 42

Score
-
out of -
Rank
-
out of -

TIME Taken - -

SHARING IS CARING

If our Website helped you a little, then kindly spread our voice using Social Networks. Spread our word to your readers, friends, teachers, students & all those close ones who deserve to know what you know now.

Weekly Quiz Competition

Question 1
1 / -0

When would "auditing around the computer" be appropriate?

A
When controls over the computer system are strong.

B
When controls over the computer system are non-existent.

C
When controls over the computer system are adequate.

D
It is never appropriate to audit around the computer.

Solution

Auditing around the computer is one of the methods of evaluating a client's computer controls. It picks source documents randomly and verifies the outputs with the inputs. This method can only exist when controls over the computer system are non-existent.
Question 2
1 / -0

When would an auditor typically not perform additional tests of a computer systems controls?

A
When the assessed level of control risk is at a minimum.

B
When computer controls appear to be strong and risk is at a minimum.

C
When controls appear to be weak .

D
When inherent risk is st a maximum.

Solution

Auditors sometimes perform additional tests to ensure that the computer systems control are working perfectly or not. If the controls appear to be weak there is no need to perform additional tests.
Question 3
1 / -0

How have electronic data interchange (EDI) systems effected audits?

A
Since orders and billing transaction are done over the computer, source documents can not be obtained.

B
Auditors often need to plan ahead to capture information about selected transaction over the EDI.

C
There is no audit trail in an EDI system,so controls are typically assessed as weak.

D
Since all transaction occur over the computer, reliability is high and little substantive testing is needed.

Solution

Electronic data interchange (EDI) is the movement of business documents electronically between or within firms (including their agents or intermediaries) in a structured, machine-retrievable, data format that permits data to be transferred, without re-keying, from a business application in one location to a business application in another location.
Question 4
1 / -0

____occurs when an employee or former employee commits violence against other employees on organizational grounds.

A
Rumours

B
Crises of organizational misdeeds

C
Confrontation crises

D
Workplace violence

Solution

Workplace violence can an range from threats and verbal abuse to physical assaults and homicide. It is one of the leading causes of job-related deaths. It occurs when an employee or former employee commits violence against other employees on organizational grounds.
Question 5
1 / -0

Since the computer can do many jobs simultaneously, segregation is not a defined as it is in a manual system. How can a computer system be modified to compensate for the lack of segregation of duties?

A
The computer system should be under the direction of the internal audit department.

B
The computer system should be accessible to various competent parties so they can check on each others' work.

C
Strong controls should be built into both the computer software and hardware to limit access and manipulation.

D
Many companies run complete parallel manual an automated accounting systems for a cross check on input and output.

Solution

The hardware and the computer software should be given more importance. It should be built in such a way that it gives limited access to its contents and less manipulation can be done. Manipulation in data in unethical and can lead to errors.
Question 6
1 / -0

Projections and responses to queries are Information output characteristics associated with ______________________.

A
Decision Support System (DSS)

B
Management Information System (MIS)

C
Executive Support System (ESS)

D
Transaction Processing System (TPS)

Solution

Projections and responses to queries are Information output characteristics associated with Executive Support System (ESS). Executive Support System is also known as Executive Information System. It helps to provide easy access to internal and external information relevant to organizational goals. It also supports decision-making needs.
Question 7
1 / -0

Consider the following elements.
1. Indicators 2. Objectives
3. Controls 4. Key Result Areas
5. Roles and Missions 6. Action plans
The correct sequence in Management by Objectives and Results is

A
5, 4, 2, 1, 3, 6

B
4, 5, 2, 1, 3, 6

C
5, 4, 1, 2, 6, 3

D
4, 5, 1, 2, 6, 3
Solution
Management By Objectives was popularised by Peter Drucker. It suggests that objectives should not be imposed on subordinates but should be decided collectively by a concerned with the management. The elements of Management by objectives and Results are:
Roles and Missions
Key result areas
Indicators
Controls
Objectives
Action plans
Controls
Question 8
1 / -0

Which one of the following statements is correct?

A
Planning and controlling are essentially one and same

B
Controlling is a part of the planning process

C
Controlling is a substitute for planning

D
A control process is meaningless without pre-set goals

Solution

The controlling function measures progress towards the organisational goals and brings to light the deviations, if any, and indicates corrective action. Hence, a control process is meaningless without pre-set goals.
Question 9
1 / -0

Identify the sequence of different steps in controlling.
I. Measurement of performance.
II. Comparison of actual and standard.
III. Analysis of causes of deviation.
IV. Actual performance.
V. Corrective action plan.
Select the correct answer from the options given below-

A
(III), (IV), (V), (I), (II)

B
(II), (IIII), (IV), (V), (I)

C
(I), (II), (IV), (III), (V)

D
(IV), (I), (II), (III), (V)

Solution

Controlling Process Controlling is a systematic process involving the following steps.
1. Setting performance standards
2. Measurement of actual performance
3. Comparison of actual performance with standards
4. Analysing deviations
5. Taking corrective action
Question 10
1 / -0

Consider the following steps
1. Measurement of performance
2. Establishment of standards
3. Comparison between performance and standards
4. Correction of deviations
The correct sequence in which these steps are undertaken in the process of controlling is

A
1, 2, 3, 4

B
2, 1, 3, 4

C
3, 1, 2, 4

D
1, 3, 2, 4

Solution

Controlling is a systematic process involving the following steps.
1. Setting performance standards
2. Measurement of actual performance
3. Comparison of actual performance with standards
4. Analysing deviations
5. Taking corrective action

User

Question Analysis

Correct -
Wrong -
Skipped -

My Perfomance

Score
-
out of -
Rank
-
out of -

Re-Attempt Weekly Quiz Competition

Controlling Test - 42

Result

Controlling Test - 42

Score

-

Rank

-

SHARING IS CARING

Question 1

When controls over the computer system are strong.

When controls over the computer system are non-existent.

When controls over the computer system are adequate.

It is never appropriate to audit around the computer.

Solution

Question 2

When the assessed level of control risk is at a minimum.

When computer controls appear to be strong and risk is at a minimum.

When controls appear to be weak .

When inherent risk is st a maximum.

Solution

Question 3

Since orders and billing transaction are done over the computer, source documents can not be obtained.

Auditors often need to plan ahead to capture information about selected transaction over the EDI.

There is no audit trail in an EDI system,so controls are typically assessed as weak.

Since all transaction occur over the computer, reliability is high and little substantive testing is needed.

Solution

Question 4

Rumours

Crises of organizational misdeeds

Confrontation crises

Workplace violence

Solution

Question 5

The computer system should be under the direction of the internal audit department.

The computer system should be accessible to various competent parties so they can check on each others' work.

Strong controls should be built into both the computer software and hardware to limit access and manipulation.

Many companies run complete parallel manual an automated accounting systems for a cross check on input and output.

Solution

Question 6

Decision Support System (DSS)

Management Information System (MIS)

Executive Support System (ESS)

Transaction Processing System (TPS)

Solution

Question 7

5, 4, 2, 1, 3, 6

4, 5, 2, 1, 3, 6

5, 4, 1, 2, 6, 3

4, 5, 1, 2, 6, 3

Solution

Question 8

Planning and controlling are essentially one and same

Controlling is a part of the planning process

Controlling is a substitute for planning

A control process is meaningless without pre-set goals

Solution

Question 9

(III), (IV), (V), (I), (II)

(II), (IIII), (IV), (V), (I)

(I), (II), (IV), (III), (V)

(IV), (I), (II), (III), (V)

Solution

Question 10

1, 2, 3, 4

2, 1, 3, 4

3, 1, 2, 4

1, 3, 2, 4

Solution

User

Question Analysis

My Perfomance

Score

-

Rank

-

Results Announcement on: coming Monday

Stay Tuned: We’ll update you on your result via email or SMS.