This Organization Issues Guidelines for Conducting the IT Audit

question 38

Multiple Choice

This organization issues guidelines for conducting the IT audit.The standards issued address practices related to control and security of the IT system.

• A)Auditing Standards Board
• B)Public Company Accounting Oversight Board
• C)International \Audit Practices Committee
• D)Information Systems Audit and Control Association

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Definitions:

Job-order Costing

A costing method used to track costs specifically associated with a given job or project, allowing for detailed monitoring of expenses.

Predetermined Overhead Rate

A calculated rate used to charge overhead costs to products or job orders, determined by dividing estimated overhead costs by an allocation base.

Manufacturing Overhead

All indirect costs associated with the production process, like maintenance, utilities, and quality control.

Predetermined Overhead Rate

An estimated overhead rate used to allocate manufacturing overhead costs to products, calculated prior to the accounting period.