When evaluating internal control of an entity that processes revenue transactions on the Internet,an auditor would be most concerned about the
A) potential for computer disruptions in recording sales.
B) lack of sales invoice documents as an audit trail.
C) frequency of archiving and data retention.
D) inability to establish test data.

Question

Quizplus · Accepted Answer

When revenue transactions are processed online, there is an increased risk of computer disruptions or system errors that can affect the accurate recording of sales. Therefore, the auditor would be most concerned with how the entity has implemented controls to mitigate these risks and ensure that the revenue recorded is complete and accurate.

When Evaluating Internal Control of an Entity That Processes Revenue