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IIA-CIA-PART2 · Question #421

The internal audit activity has requested that new vendor information be summarized once per week in a single report, and that all invoices each week for these vendors be automatically flagged in…

The correct answer is A. Enabling continuous auditing. The request for new vendor information to be summarized weekly and for invoices to be flagged automatically in the processing system indicates the use of continuous auditing. Continuous auditing involves ongoing, real-time monitoring of transactions and controls, which allows…

Conducting the Internal Audit Engagement

Question

The internal audit activity has requested that new vendor information be summarized once per week in a single report, and that all invoices each week for these vendors be automatically flagged in the invoice processing system. Which of the following computerized audit techniques is the internal audit activity most likely applying?

Options

  • AEnabling continuous auditing.
  • BEmploying generalized audit software.
  • CFacilitating electronic workpapers.
  • DUsing machine learning.

How the community answered

(62 responses)
  • A
    89% (55)
  • B
    3% (2)
  • C
    6% (4)
  • D
    2% (1)

Explanation

The request for new vendor information to be summarized weekly and for invoices to be flagged automatically in the processing system indicates the use of continuous auditing. Continuous auditing involves ongoing, real-time monitoring of transactions and controls, which allows for the early detection of anomalies or issues.

Topics

#continuous auditing#audit automation#computerized audit techniques#vendor monitoring

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