The Role of the Accountant/internal Auditor in the Conceptual Design

question 38

Multiple Choice

The role of the accountant/internal auditor in the conceptual design phase of the Systems Development Life Cycle includes all of the following except

• A) the accountant is responsible for designing the physical system
• B) the accountant is responsible to ensure that audit trails are preserved
• C) the internal auditor is responsible to confirm that embedded audit modules are included in the conceptual design
• D) the accountant is responsible to make sure that the accounting conventions that apply to the module are considered by the system designers

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Definitions:

Disposal

The process of getting rid of something, especially by throwing it away or by selling it.

Accumulated Depreciation

Accumulated depreciation is the total amount of depreciation expense that has been recorded for an asset since it was put into use, reducing its book value on the balance sheet.

Goodwill

An intangible asset that is created from such favorable factors as location, product quality, reputation, and managerial skill.

Boot

The remaining amount a buyer owes after the trade-in allowance when a fixed asset is traded in for a similar asset.