Tests of controls in an advanced computerized processing system
A)Can be performed using only actual transactions because testing simulated transactions does not provide relevant evidence.
B)Can be performed using actual transactions or simulated transactions.
C)Is impractical because many procedures within the computerized processing system leave no visible evidence of having been performed.
D)Is inadvisable because it may distort the evidence in real-time systems.

Question

Quizplus · Accepted Answer

Tests of controls in an advanced computerized processing system can be performed using actual transactions or simulated transactions. Simulated transactions can be used to test the effectiveness of internal controls without the risk of affecting actual transactions, and actual transactions can be used to provide evidence of the actual operation of controls in the system. Both methods should be used to obtain sufficient and appropriate evidence of the effectiveness of the controls in the system.

Tests of Controls in an Advanced Computerized Processing System