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NO.1 Which of the following would provide the greatest assurance of the accuracy of a computer
program's computation of freight charges for catalog sales?
A. Use difference estimation, selecting transactions from invoices which should have freight charges
added to them.
B. Use either test data or parallel simulation to test the computer application.
C. Use discovery sampling, selecting transactions from invoices which should have freight charges
added to them.
D. Use generalized audit software to select a monetary-unit sample of invoices that have been billed
to customers.
Answer: B
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NO.2 At the conclusion of an audit of an organization's treasury department, a report was issued to
the treasurer, chief financial officer, president, and board. Because of the sensitivity of some findings,
a follow-up review was performed. The auditor should provide the report of follow-up findings to
the.
I. Treasurer.
II. Chief financial officer.
III. President.
IV. Board.
A. I and II only
B. I, II, and III only
C. I, II, III, and IV.
D. III and IV only
Answer: C
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