Application Controls Are Part of the Effectiveness of ITGC in That

question 39

Multiple Choice

Application controls are part of the effectiveness of ITGC in that they are the controls that:

• A) are specific to a single process or activity within the system but depend upon the validity of the ITGC environment.
• B) occur at the entity-level to link the operation of automated and manual controls.
• C) occur at the transaction-level to integrate the financial reporting aspects of a given activity.
• D) are intended to enhance the access control limitations provided by passwords.

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Definitions:

Risk-taking Individual

is a person who is willing to undertake actions that involve uncertainty or risk in order to achieve potentially significant results.

Entrepreneur

An entrepreneur is a person (or group of people) who creates the new enterprise, opportunity or business venture.

Self-employed Service Business

A self-employed service business is operated by an individual who provides services, rather than goods, directly to customers on a freelance or contract basis.

New Product

An item that is introduced in the market for the first time or a significantly improved or modified version of an existing product.