Question

An auditor sets an embedded audit module to flag all credit transactions in excess of $5,000. The flag causes the system state to be recorded before and after each transaction is processed. The auditor is using

a		audit hooks.
b		an integrated test facility.
c		the snapshot technique.
d		a system control audit review file.

Which of the following is  not one of the six objectives of an information systems audit?

a		Security provisions exist to protect data from unauthorized access, modification, or destruction.
b		Obtaining evidence to provide reasonable assurance the financial statements are not materially misstated
c		Program modifications have received management's authorization and approval.
d		Programs have been developed and acquired in accordance with management's authorization.

Answer 1

1. c. The Snapshot technique.

Explanation: Snapshot technique is an audit technique which is automated and is used to track a specific transaction by using the software program. For this to happen, certain specific codes are provided to the system on the basis of which system prepares the report for further analysis.

Under Audit Hooks, auditors tag a transaction and in case of recurrance of similar transaction, notification is generated.

Under Integrated test facility, a sample transaction is entered into the system on the basis of which the system generates the output.

Under system control audit review file, the software is embedded on the basis of which monitoring of transactions are done by the auditor.

2. b. Obtaining evidence to provide reasonable assurance the financial statements are not materially misstated.

Explanation: Obtaining of evidence to provide reasonable assurance the financial statements are not materially misstated is an audit of internal financials controls over Financial Reporting. All the other mentioned options (except the option in answer) are the objectives of Information system audit.