Question

Many companies design their IT system so that all documents and reports can be retrieved from the system in readable form. Auditors can then compare the documents used to input the data into the system with reports generated from the system, without gaining any extensive knowledge of the computer system and does not require the evaluation for computer controls. This process is referred to as:

A. Auditing through the system
B. Auditing around the system
C. Computer assisted audit techniques
D. Auditing with the computer

Answer 1

The process in which auditors compare input documents and generated reports without detailed knowledge of IT systems is known as 'Auditing around the system'.

Step-by-step explanation:

Many companies design their IT system so that all documents and reports can be retrieved from the system in readable form. This allows auditors to compare the documents used to input data into the system with reports generated by the system. This process, where auditors review the inputs and outputs without needing an extensive understanding of the computer systems or evaluating computer controls, is referred to as B. Auditing around the system. It focuses on the data before it enters the system and after it exits, rather than the processing that occurs within.