Question

In: Accounting

Identify at least one risk that auditors need to consider for companies that process Web-based sales...

Identify at least one risk that auditors need to consider for companies that process Web-based sales transactions, including credit card payments. For the risk identified, develop a mitigation risk strategy. Provide a specific example.

Solutions

Expert Solution

The Most important risk that auditors need to consider for companies that process web based Sales transcations is security risk i.e Virus attacks or E-Frauds.. we have seen in so many cases where hackers are able to breach the security and can harm the business. The auditor need to understand the business procedure to identify and mitigate the risk.

Below are the some steps to be followed for risk mitigation-

  1. The reports of all transcations need to be monitored regularly so that any Unauthorised access can be idenitifed and rectifed immeditely. Unusual activity on the website will help us to be careful.
  2. The company needs to ensure that he has placed the strong anti virus to avoid any virus attack which will not only affect business and also the records.
  3. The Firewall should be strong to avoid unwanted traffic to the website which will also protect its server
  4. Data to be stored in a safe manner without access to anyone other than authorised persons.
  5. 24*7 monitoring of the website is necessary.

ekkarill92 answered 2 years ago
Next > < Previous

Related Solutions

Identify at least three risks that auditors need to consider for companies that process Web-based sales...
Identify at least three risks that auditors need to consider for companies that process Web-based sales transactions, including credit card payments. For each risk identified, develop a mitigation risk strategy. Provide specific examples.
Discuss at least one advantage and disadvantage of implementing an IT-based system. Identify at least one...
Discuss at least one advantage and disadvantage of implementing an IT-based system. Identify at least one inherent operational and financial risk in using computerized reports. Propose at least one mitigation risk strategy and justify your recommendation.
Identify two companies that you would consider working for. Do this based on your interests and...
Identify two companies that you would consider working for. Do this based on your interests and goals. You may choose a company you currently work for or one you have previously worked for (if you would work for them again). Do a comprehensive review of each company. ▪ Discuss each company’s mission, vision and what they stand for and how that resonates with you. ▪ Dive deeper into the management style and structure of the company. ▪ Identify their organizational...
Accounting Of the risks Starbucks Corporation discloses, you must identify at least one risk at Starbucks...
Accounting Of the risks Starbucks Corporation discloses, you must identify at least one risk at Starbucks store level and connect it to a financial statement, explaining its adverse financial statement outcomes if it were to materialize. Demonstrate your understanding by showing an effect one on at least one of the ratios. At the store level, identifying risk is more challenging than at the company level. Apply your understanding financial reporting concepts you learned but take it a step further to...
Accounting Of the risks Starbucks Corporation discloses, you must identify at least one risk at Starbucks...
Accounting Of the risks Starbucks Corporation discloses, you must identify at least one risk at Starbucks store level and connect it to a financial statement, explaining its adverse financial statement outcomes if it were to materialize. Demonstrate your understanding by showing an effect one on at least one of the ratios. At the store level, identifying risk is more challenging than at the company level. Apply your understanding financial reporting concepts you learned but take it a step further to...
2. Identify the fraud risk factors posed by DHB for its independent auditors. Which of these...
2. Identify the fraud risk factors posed by DHB for its independent auditors. Which of these factors, in your opinion, should have been of primary concern to those auditors? 3. During the 2004 DHB audit, the company’s independent auditors had considerable difficulty obtaining reliable audit evidence regarding the $7 million of obsolete vest components that allegedly had been destroyed by a hurricane. What responsibility do auditors have when the client cannot provide the evidence they need to complete one or...
Identify the process you would set up to evaluate at least one capital project that you...
Identify the process you would set up to evaluate at least one capital project that you as a healthcare manager would submit to your finance department during the capital request process for your organization. This assignment is a maximum 3 page paper that identifies the process you would go through to develop and present your capital project request. Include all the steps you would take into consideration so you could submit these projects to be considered by your organization. Also,...
When reviewing the summary of misstatements found in the​ audit, A. auditors only need to consider...
When reviewing the summary of misstatements found in the​ audit, A. auditors only need to consider the misstatements that impact the income statement. B. an adjusting journal entry must be made by the auditor for all material misstatements. C. auditors must combine individually immaterial misstatements to evaluate whether the combined amount is material. D. the auditor is not required to consider the impact on the current financial statements of misstatements in the prior year that were not corrected.
Provide a description and explanation of the main factors that auditors need to consider when selecting...
Provide a description and explanation of the main factors that auditors need to consider when selecting controls to test. What factors affect the auditor's determination of a samples size when testing controls and in which direction (varies inversely or direction with sample size)?
Web-Based Patient Education Portals Please consider the following questions: Discuss one benefit, according to the literature,...
Web-Based Patient Education Portals Please consider the following questions: Discuss one benefit, according to the literature, of web-based patient education portals? Discuss one challenge of web-based patient education portals? How do you think nurses should deal with patients who present with web-based health information which may impact their care?
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT