CISA - 1 The Process of Auditing
Information Systems Questions &
Answers(RATED A+)
Audit Risk - ANSWERThe risk that the audit report might contain a material error or
that an error might exist that the auditor did not detect
Control Risk - ANSWERThe risk that an auditor could lose control, errors could be
introduced, or errors may not be corrected in a timely manner (if ever).
Business Risk - ANSWERThese are risks that is inherent in the business or industry
itself. They may be regulatory, contractual, or financial.
Continuity Risk - ANSWERThe risk the business faces that might keep it from
recovering from a disaster
Detection Risk - ANSWERThis is the risk that an auditor will not be able to detect
what they are looking to find. They include sampling and nonsampling risks.
Material Risk - ANSWERAn unacceptable risk
Inherent Risk - ANSWERThese are natural or built-in risks that always exist.
Security Risk - ANSWERThe risk that unauthorized access to data will result in the
exposure or loss of integrity of the data
General Control Procedures - ANSWERControl category established by
management to provide a reasonable amount of assurance that specific objectives
will be achieved.
COBIT Domains - ANSWER1. Plan and Organize
2. Acquire and Implement
3. Deliver and Support
4. Monitor and Evaluate
COBIT Control Objectives - ANSWERM1 - Monitor the processes
M2 - Assess internal control adequacy
M3 - Obtain independent assurance
M4 - Provide for independent audit
Compliance Test - ANSWERA type of test used to verify conformity.
Substantive Test - ANSWERA type of test used to verify the integrity of a claim.
Audit Methodology - Step 1 - ANSWERAudit Subject
, Audit Methodology - Step 2 - ANSWERAudit Objective
Audit Methodology - Step 3 - ANSWERAudit Scope
Audit Methodology - Step 4 - ANSWERPre-audit Planning
Audit Methodology - Step 5 - ANSWERData Gathering
Variable Sampling - ANSWERThis type of sampling measures characteristics of the
sample population, such as dollar amounts or other units of measurement. Primarily
used for substantive testing.
Attribute Sampling - ANSWERThis type of sampling determines whether an attribute
is present or absent in the subject sample. Measured in rate of occurrence. Primarily
used for compliance testing.
Audit Methodology - Step 6 - ANSWEREvaluation of Test Results
Audit Methodology - Step 7 - ANSWERCommunication with Management
Audit Methodology - Step 8 - ANSWERPreparation of Audit Report
Audit Methodology - ANSWERA documented approach for performing the audit in a
consistent and repeatable manner.
Statistical Sampling - ANSWERThis type of sampling is based on probability, in
which every item in the population has a known chance of selection. The auditor
quantitatively decides the sample size and confidence level.
Nonstatistical Sampling - ANSWERThis type of sampling uses auditor judgment to
select the sample size and determine which items to select.
Frequency Estimating Sampling - ANSWERThis type of sampling asks the question
of "how many"? A sub-category of attribute sampling.
Stop-and-go Sampling - ANSWERThis type of sampling is used when it is believed
that few errors exist. A sub-category of attribute sampling.
Discovery Sampling - ANSWERThis type of sampling is used to discover fraud or
irregularities. A sub-category of attribute sampling.
Embedded Audit Modules - ANSWERThese process dummy transactions along with
genuine, live transactions.
Parallel Simulation - ANSWERExamination of real results that are compared to those
generated by the auditor.
Information Systems Questions &
Answers(RATED A+)
Audit Risk - ANSWERThe risk that the audit report might contain a material error or
that an error might exist that the auditor did not detect
Control Risk - ANSWERThe risk that an auditor could lose control, errors could be
introduced, or errors may not be corrected in a timely manner (if ever).
Business Risk - ANSWERThese are risks that is inherent in the business or industry
itself. They may be regulatory, contractual, or financial.
Continuity Risk - ANSWERThe risk the business faces that might keep it from
recovering from a disaster
Detection Risk - ANSWERThis is the risk that an auditor will not be able to detect
what they are looking to find. They include sampling and nonsampling risks.
Material Risk - ANSWERAn unacceptable risk
Inherent Risk - ANSWERThese are natural or built-in risks that always exist.
Security Risk - ANSWERThe risk that unauthorized access to data will result in the
exposure or loss of integrity of the data
General Control Procedures - ANSWERControl category established by
management to provide a reasonable amount of assurance that specific objectives
will be achieved.
COBIT Domains - ANSWER1. Plan and Organize
2. Acquire and Implement
3. Deliver and Support
4. Monitor and Evaluate
COBIT Control Objectives - ANSWERM1 - Monitor the processes
M2 - Assess internal control adequacy
M3 - Obtain independent assurance
M4 - Provide for independent audit
Compliance Test - ANSWERA type of test used to verify conformity.
Substantive Test - ANSWERA type of test used to verify the integrity of a claim.
Audit Methodology - Step 1 - ANSWERAudit Subject
, Audit Methodology - Step 2 - ANSWERAudit Objective
Audit Methodology - Step 3 - ANSWERAudit Scope
Audit Methodology - Step 4 - ANSWERPre-audit Planning
Audit Methodology - Step 5 - ANSWERData Gathering
Variable Sampling - ANSWERThis type of sampling measures characteristics of the
sample population, such as dollar amounts or other units of measurement. Primarily
used for substantive testing.
Attribute Sampling - ANSWERThis type of sampling determines whether an attribute
is present or absent in the subject sample. Measured in rate of occurrence. Primarily
used for compliance testing.
Audit Methodology - Step 6 - ANSWEREvaluation of Test Results
Audit Methodology - Step 7 - ANSWERCommunication with Management
Audit Methodology - Step 8 - ANSWERPreparation of Audit Report
Audit Methodology - ANSWERA documented approach for performing the audit in a
consistent and repeatable manner.
Statistical Sampling - ANSWERThis type of sampling is based on probability, in
which every item in the population has a known chance of selection. The auditor
quantitatively decides the sample size and confidence level.
Nonstatistical Sampling - ANSWERThis type of sampling uses auditor judgment to
select the sample size and determine which items to select.
Frequency Estimating Sampling - ANSWERThis type of sampling asks the question
of "how many"? A sub-category of attribute sampling.
Stop-and-go Sampling - ANSWERThis type of sampling is used when it is believed
that few errors exist. A sub-category of attribute sampling.
Discovery Sampling - ANSWERThis type of sampling is used to discover fraud or
irregularities. A sub-category of attribute sampling.
Embedded Audit Modules - ANSWERThese process dummy transactions along with
genuine, live transactions.
Parallel Simulation - ANSWERExamination of real results that are compared to those
generated by the auditor.
