Jones Ltd Has Numerous Customers

question 27

Multiple Choice

Jones Ltd has numerous customers. Each customer file contains name, address, credit limit and account balance. The auditor wishes to undertake a test of the automated control that does not allow account balance to exceed credit limit. The best procedure for the auditor to follow would be to: A. develop a program to compare credit limits with account balances and print out the details of any account with a balance exceeding its credit limit.

• A) ANSB. develop test data that would cause some account balances to exceed the credit limit and determine if the system properly detects such situations.
• B) request a printout of a sample of account balances so they can be individually checked against the credit limits.
• C) request a printout of all account balances so they can be manually checked against the credit limits.

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