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Sol 9

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CHAPTER 9

AUDITING COMPUTER-BASED INFORMATION SYSTEMS

SUGGESTED ANSWERS TO DISCUSSION QUESTIONS 9.1 Since most organizations make extensive use of computer-based systems in processing accounting data, it is essential that computer expertise be available in the organization's audit group. Such expertise should include: * Extensive knowledge of computer hardware, software, and accounting applications * A detailed understanding of appropriate control policies and procedures in computer systems * An ability to read and understand system documentation * Experience in planning computer audits and in using modern computer auditing techniques. All internal auditors may not possess expertise in all of these areas. However, there is certainly some minimum level of computer expertise that is appropriate for all auditors. This would include: * An understanding of computer hardware, software, accounting applications, and controls. * The ability to examine all elements of the computerized AIS * The ability to use the computer as a tool to accomplish these auditing objectives. 9.2 Many authorities have suggested in recent years that internal auditors should be involved in systems development projects in order to ensure that newly developed systems are auditable and have effective controls. However, if the auditor's involvement is too great, then his or her independence may be impaired with respect to subsequent review and evaluation of the system.

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