Question Details

As
 a
 member of a development team, you’ve been asked to develop and test the 


new AIS.
Discuss the eight basic steps required in the implementation phase of the SDLC in 
the proper order they should occur. (Points : 30) 
Explain the preparation of financial statements as the third step in the general 
ledger and reporting system.
Identify and discuss the common systems for approving vendor payments.
Required: (a) List the operating events and the decision/management events discussed in 
this example; (b) Identify and discuss any risks associated with the events; (c) Propose at 
least one or more internal controls that would mitigate the risks.
Provide three reasons or benefits of AIS skills to any accounting-related career
components of an AIS. 
There are three (3) important business functions that are performed by the six (6) 

can be reduced.
Discuss redundancy as it applies to database design and explain how redundancy 
Discuss the collection of evidence in audits.


oriented systems. 
 Evaluate the benefits of a database approach to data management over old file-
Several years ago a ring of foreign-based hackers broke into Town Bank- system and stole $10 million from its customers’ accounts. Discuss how systems can become vulnerable to computer crimes and then evaluate controls that strengthen those weaknesses.

Required:

a) Provide at least three weaknesses of AIS that hackers can exploit for gain 
b) Suggest at least one control for each weakness
(TCO A) How can an AIS add value to the organization?

Question 7.
Question :
(TCO A)  Name two reasons why it is important to have a working knowledge of DFDs and flowcharting.

Question 7.
Question :
(TCO B) What is the difference between general and specific authorization? 

Question 7.
Question :
(TCO G) Explain why the auditor's role in program development and acquisition should be limited. 

Question 7.
Question :
 (TCO D) How can information technology be used to improve the vendor invoice approval process? 

Question 7.
Question :
(TCO F) What are the four basic activities involved in the general ledger and reporting system? 

Question 7.
Question :
(TCO H) Explain the concept of an application service provider. 

90) Classify each of the following controls as preventive, detective, or corrective.
Periodic bank reconciliation
Separation of cash and accounting records
Maintaining backup copies of master and transaction files
Pre-numbering of sales invoices
Chart of accounts
Retina scan before entering a sensitive R & D facility
Resubmission of error transactions for subsequent processing 
Internal auditor rechecking the debits and credits on the payment voucher
Depositing all cash receipts intact
Hiring qualified accounting personnel