An External Auditor Conducts an Information Systems Audit Using the Professional

question 54

Multiple Choice

An external auditor conducts an information systems audit using the professional standards promulgated by the

• A) Institute of Internal Auditors.
• B) American Institute of Certified Public Accountants.
• C) Institute of Management Accountants.
• D) Information Systems Audit and Control Association.

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Definitions:

Compensated Surety

A guarantor who receives compensation for guaranteeing the performance or obligations of another party.

Accommodation Surety

A third party who guarantees the debt or obligation of another without benefit to themselves, often to help the borrower obtain a loan.

Guarantor

An individual or entity that agrees to be responsible for another's debt or performance under a contract if the primary party does not meet their obligations.

Guaranty Contract

A legal agreement where a guarantor agrees to fulfill the financial obligations of a debtor to a lender, in case the debtor fails to do so.