Study Unit 3 - Control: Types & Techniques

Question 1

PRIMARY Controls include:

Answer 1

1. Preventative – Deter unwanted events.
2. Detective – Alert after an unwanted event.
3. Corrective – Correct effects of unwanted event.
4. Directive – Causes or encourages desired events.

Question 2

SECONDARY Controls Include:

Answer 2

1. Compensatory (Mitigating): Reduce risk when PRIMARY controls are ineffective
2. Complementary: Work with other controls to reduce risk to acceptable levels.

Question 3

APPLICATION controls include:

Answer 3

1. Input (Batch or Online) – focus of IA
2. Processing – complete & accurate data during updating.
3. Output – Results are complete, accurate and properly distributed.

Question 4

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Answer 4

1. Financial Totals
2. Record Counts
3. Hash Totals

Question 5

ONLINE Input Controls include:

Answer 5

1. Data Screen Preformatting
2. Field Checks
3. Validity Checks
4. Limit & Range checks
5. Self-Checking digits

Question 6

TIME-BASED Classification of controls includes:

Answer 6

1. Feedback – Inspection of completed goods
2. Concurrent – Supervision of production-line workers
3. Feedforward – Policies & procedures

Question 7

Objectives of Financial Controls

Answer 7

1. Authorization
2. Recordkeeping
3. Safeguarding of assets
4. Compliances with laws & regs