REX DUHAYLUNGSOD

AUDITING IN CIS ENVIRONMENT

APPLICATION CONTROLS
Manual or automated control procedures that typically operate at a detailed business process (cycle or transaction) level and are designed to ensure the integrity of the accounting records. The primary objective of application control is to prevent, detect and correct error in transactions as they flow through the various stages of a specific data processing programs.Examine only when control risk for general controls is assessed at low level.

INPUT CONTROLS
Designed to ensure that the transactions that bring data into the system are valid, accurate, and complete. 1. Source document controls Use pre-numbered source documents Use source documents in sequence Periodically audit source documents 2. Data coding controls -Transcription errors Audition errors (extra digits) Truncation errors (digits removed) Substitution errors (digits replaced) -Single Transposition errors (adjacent digits transposed) -Multiple Transposition errors (non-adjacent digits are transposed) Check digits -Added to code when created -Introduces storage and processing Inefficiencies -Detect only transcription errors Modulus 11 -Detects transposition error 3. Batch controls -Method for handling high volumes of transaction data especially paper-fed IS -Controls of batch continues through all phases of the system and all processes (it is not just an input control) -Requires grouping of similar input transactions -Requires controlling the batch throughout *HASH TOTALS 4. Validation controls -Intended to detect errors in data before processing -Most effective if performed close to the source of the transaction -Some require referencing a master file Field Interrogation Record Interrogation File Interrogation 5. Input error correction -Batch: correct and resubmit -Controls to make sure errors are dealt with completely and accurately Immediate correction Create an error file Reject the entire batch 6. Generalized data input systems -Centralized procedures to manage data input for all transaction processing systems -Eliminates the need to create redundant routines for each new application GDIS Major Component 1. Generalized validation module 2. Validated data file 3. Error file 4. Error reports 5. Transaction log

PROCESSING CONTROLS
Designed to ensure that transactions, (including system generated transactions), are properly processed by the computer. Transactions are not lost, added, excluded, duplicated or improperly changed Processing errors are identified and corrected on a timely basis 1. Run-to-run controls 2. Operator Intervention Controls 3. Audit trail controls

OUTPUT CONTROLS
Ensure the system output is: 1. Not misplaced 2. Not misdirected 3. Not corrupted 4. Privacy policy not violated Output Spooling Print Programs Bursting Waste Data Control Report Distribution End User Controls