Which Test of Controls Will Provide Evidence That the System

question 46

Multiple Choice

Which test of controls will provide evidence that the system as originally implemented was free from material errors and free from fraud? Review of the documentation indicates that

• A) a cost-benefit analysis was conducted
• B) the detailed design was an appropriate solution to the user's problem
• C) tests were conducted at the individual module and total system levels prior to implementation
• D) problems detected during the conversion period were corrected in the maintenance phase

---

Definitions:

October Sales

Sales revenue generated during the month of October.

Units

In a business context, units refer to a measure of quantity, such as items produced, sold, or in inventory, used for operational and financial analyses.

Budgeted Units

Budgeted units refer to the estimated quantity of product a company plans to produce or sell in a certain period.

Production

The process of creating, manufacturing, or assembling goods and services.