1. When an online, real- time ( OLRT) EDP system is in use, internal control can be strengthened by
a. Providing for the separation of duties between data entry and error- listing operations.
b. Attaching plastic file protection rings to reels of magnetic tape before new data can be entered on the file.
c. Preparing batch totals to provide assurance that file updates are made for the entire input.
d. Making a validity check of an identification number before a user can obtain access to the computer files.

2. Which of the following most likely constitutes a weakness in the internal accounting control of an EDP system?
a. The control clerk establishes control over data received by the EDP department and reconciles control totals after processing.
b. The application programmer identifies programs required by the systems design and flowcharts the logic of these programs.
c. The systems analyst reviews output and controls the distribution of output from the EDP department.
d. The accounts payable clerk prepares data for computer processing and enters the data into the computer.

3. An effective control designed to provide reasonable assurance that hourly payroll information has been entered accurately into the computer system is to
a. Establish the use of batch control totals for total hours to be processed.
b. Review the contents of the computer master file.
c. Limit access to the online terminals.
d. Circulate to user departments periodic reports containing the contents of the master file. ( IIA)

4. Which of the following activities most likely would be performed in the EDP department?
a. Initiation of changes to master records
b. Conversion of information to machine- readable form
c. Correction of transactional errors
d. Initiation of changes to existing applications

5. Carmela Department Stores has a fully integrated EDP accounting system and is planning to issue credit cards to creditworthy customers. To strengthen internal control by making it difficult for one to create a valid customer account number, the company’s independent auditor has suggested the inclusion of a check digit that should be placed
a. At the beginning of a valid account number only.
b. In the middle of a valid account number only.
c. At the end of a valid account number only.
d. Consistently in any position.

6. One of the major problems in an EDP system is that incompatible functions may be performed by the same individual. One compensating control for this is use of
a. A tape library.
b. A self- checking digit system.
c. Computer- generated hash totals.
d. A computer log.

7. The primary documentation on which a company should rely for an explanation of how a particular program operates is the
a. Run manual.
b. Periodic memory dump.
c. Maintenance of three generations of master files.
d. Echo check printout.

8. The use of external labels in conjunction with magnetic tape storage is most likely to prevent errors that might be made by which of the following?
a. A computer programmer
b. A systems analyst
c. A data entry clerk
d. A computer operator

9. An online sales order processing system most likely would have an advantage over a batch sales order processing system by
a. Detecting errors in the data entry process more easily by the use of edit programs.
b. Enabling shipment of customer orders to be initiated as soon as the orders are received.
c. Recording more secure backup copies of the database on magnetic tape files.
d. Maintaining more accurate records of customer accounts and finished goods inventories.

10. Which of the following is a general control that most likely would assist an entity whose systems analyst left in the middle of a major project?
a. Grandfather– father– son record retention
b. Input and output validation routines
c. Systems documentation
d. Check- digit verification

  • CreatedFebruary 26, 2015
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