Accounting Information Systems
11th Edition
ISBN: 9781337552127
Author: Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill
Publisher: Cengage Learning
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Chapter 12, Problem 7DQ
Summary Introduction
To discuss: The given statement.
Introduction:
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Chapter 12 Solutions
Accounting Information Systems
Ch. 12 - Prob. 1RQCh. 12 - What primary functions does the purchasing process...Ch. 12 - Prob. 3RQCh. 12 - What are the fundamental responsibilities of each...Ch. 12 - Describe supply chain management (SCM).Ch. 12 - Prob. 6RQCh. 12 - Prob. 7RQCh. 12 - Prob. 8RQCh. 12 - Prob. 9RQCh. 12 - Prob. 10RQ
Ch. 12 - Prob. 11RQCh. 12 - What types of frauds are typically found in the...Ch. 12 - What are the typical effectiveness goals of the...Ch. 12 - What characterizes a valid PO input? What...Ch. 12 - Prob. 15RQCh. 12 - Describe the impact that entity-level controls...Ch. 12 - Refer to the operations process (effectiveness)...Ch. 12 - Explain why ambiguities and conflicts exist among...Ch. 12 - Prob. 3DQCh. 12 - Without redrawing the figures, discuss how Figure...Ch. 12 - Prob. 5DQCh. 12 - Prob. 6DQCh. 12 - Prob. 7DQCh. 12 - Prob. 8DQCh. 12 - Prob. 9DQCh. 12 - Prob. 1SPCh. 12 - Prob. 2SPCh. 12 - Prob. 3SPCh. 12 - Prob. 4SPCh. 12 - Prob. 4PCh. 12 - Prob. 5PCh. 12 - Prob. 6P
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- Why do fraud examiners handle information in a different manner than auditors? Why is thisimportant?arrow_forwardWhy do we consider risk assessment the foundation of the internal audit function? To safeguard independence, many internal audit departments continue to perform risk assessments in a silo, without collaborating with and leveraging the work of ERM. Do you agree with this approach?arrow_forwardGive some instances of the dangers to the independence of an external auditor in your explanation.arrow_forward
- If a firm decides early to go with a special-purpose system, such as SAP, based upon the recommendations of the external audit firm, should the SDLC be bypassed?arrow_forwardEnron's governance system failed to work properly. Provide at least two examples of this failure and why it failed.arrow_forwardAudit working papers are the property of the auditors, who may distort the papers, sell them, or give them to third part. Is this statement true or false? Justify with your explanation.arrow_forward
- In Crazy Eddie, the auditors’ work plan and results were viewed by the client, in part because the security of their workpapers was inadequate. Why is protecting the audit work product so important? In today’s audit environment, what should auditors do to protect their work product? What might auditors do in today’s audit environment that could expose their work product to individuals not engaged in the audit?arrow_forwardSome people believe database technology may eliminate the need for double-entry accounting. This creates three possibilities: (1) the double-entry model will be abandoned; (2) the double-entry model will not be used directly, but an external-level schema based on the double-entry model will be defined for accountants’ use; or (3) the double-entry model will be retained in database systems. Which alternative do you think is most likely to occur? Why?arrow_forwardi need the answer quicklyarrow_forward
- 23. Which of the following are common issues with benchmarking tool used by internal auditors? Group of answer choices Benchmarking information is often proprietary and organizations are reluctant to share it with other organizations. Benchmarking need face-to-face contact or discussion with other organizations Benchmarking can show areas of excellence within the organization but internal audits should focus on exception-based reporting Typical metrics used in benchmarking are time, quality, and costarrow_forwardAn auditor's preliminary control risk assessment is at a high level. Which of the following are possible reasons for this preliminary assessment? 1. The entity's internal control system is not effective. 2. Evaluating the effectiveness of the entity's control system would not be efficient. Choices: a. I only b. II only c. Both I and II d. Neither I and IIarrow_forwardAn auditor’s preliminary control risk assessment is at a high level. Which of the following are possible reasons for this preliminary assessment? The entity’s internal control system is not effective. Evaluating the effectiveness of the entity’s control system would not be efficient. Group of answer choices A. I only B. Neither I and II C. Both I and II D. II onlyarrow_forward
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