Interviewing and Observing Personnel - Actual Functions - An adequate test to ensure that the
individual who is assigned and authorized to perform a particular function is the person who is actually
doing the job.
Actual Processes and Procedures - allows the IS auditor to gain evidence of compli...
CISA Domain 1 Interviewing and Observing Personnel - ✔✔Actual Functions - An adequate test to ensur e that the individual who is assigned and authorized to perform a particular function is the person who is actually doing the job. Actual Processes and Procedures - allows the IS auditor to gain evidence of compliance and observe deviations, if any. Secur ity Awareness - Should be observed to verify an individuals understanding and practice of good preventive and detective security measures. Reporting Relationships - Should be observed to ensure that assigned responsibilities and adequate segregation of dut ies are being practiced. Observation Drawbacks - The observer may interfere with the observed environment. People when observed may change their behaviors. Statistical Sampling - ✔✔An objective (math based) method of determining the sample size and select ion criteria Uses the mathematical laws of probability. IS auditor quantitatively decides how closely the sample should represent the population Nonstatistical Sampling - ✔✔Use auditor judgement to determine the method of sampling. These judgements are ba sed on subjective (decision based) judgement as to which items/transactions are the most material and most risky Attribute Sampling - ✔✔Sampling model used to estimate the rate of occurrence of a specific quality in a population. Answers the question of " how many" Types: Stop -or-go Sampling - Sampling model that helps prevent excessive sampling of an attribute by allowing an audit test to be stopped at the earliest possible moment. Used when very few errors will be found in a population Discovery Sampling - Sampling model that can be used when the expected occurrence rate is extremely low. Used when the objective of the audit is to seek out fraud, circumvention of regulations or other irregularities. Variable Sampling - ✔✔Technique used to estimate the mon etary value or some other unit of measure of a population from a sample portion. Types: Stratified mean per unit - Statistical model in which the population is divided into groups and samples are drawn from the various groups; used to produce a smaller ov erall sample size than unstratified mean per unit Unstratified mean per unit - A statistical model in which a sample mean is calculated and projected as an estimated total Difference Estimation - Statistical model used to estimate the total difference betw een audited values and book values based on differences obtained from sample observations. Confidence Coefficient - ✔✔A percentage expression of the probability that the characteristics of the sample are a true representation of the population. 95% is con sidered a high degree of comfort. If internal controls are strong, the confidence coefficient may be lowered and the sample size lowered. The greater the confidence coefficient, the larger the sample size Expected Error Rate - ✔✔Estimate stated as a percent of errors that may exist. The g reater the expected error rate, the greater the sample size. Applied to attribute sampling, not variable sampling. Tolerable Error Rate - ✔✔maximum misstatement or number of errors that can exist without an account being materially misstated Sample Mean - ✔✔Sum of all the sample values divided by the size of the sample. Measures the average. Computer Assisted Audit Techniques CAATs - ✔✔Important tools for the IS auditor in gathering information from environments. Assist in gathering evidence when systems have different hardware and software environments. Enable IS auditors to gather information independently. Is a reliable method to gather evidence. Can include generalized audit software, utility software, debugging and scanning software, test data. Could aid significantly in the effective and efficient detection of irregularities or illegal acts. Can be used for continuous auditing.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller PatrickKaylian. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.39. You're not tied to anything after your purchase.
