Matakuliah
Tahun
: Manajemen Kinerja Sistem Komputer
: Feb - 2010
06. Detailed Monitoring:
Tests of Controls,
Transactions, and Balances
Pertemuan 11-12
06. Detailed Monitoring: Tests of Controls, Transactions, and
Balances
01. Detailed Monitoring Concepts
Accounting Consideration
•
US auditing standards list five assertions implicitly being made by management
when they purport that their financial statement comply with GAAP :
– Existence (or occurrence) ; the transactions, events, conditions, or assets exist or
occurred as purported in the accounting records.
– Ownership ( oe obligations) : the firm owns the asset claimed ( or has the right to use
it) or has an obligation to pay or render service.
– Valuation : all items are valued using GAAP as to both method of measurement and
precision of application (i.e. no material misstatement).
– Completeness : All items that should be recorded have been recorded (eg., all
liabilities and all expenses are recorded)
– Disclosure and presentation : The numbers and disclosures are presented in a form
that complies with GAAP, including related informative disclosures such as risks and
uncertainties.
Auditing Procedures
•
5 broad types of auditing procedures
– Observation : visual examination or " eyeballing" of physical assets and visual
examination of business process or accounting process as they are taking
place.
– Inquiry : Asking questions of company personnel (managers as well as
employees) about what they do or have done and how they do it, and asking
outsiders such as customers, suppliers, bankers, warehouse operators, and
attorney to confirm aspects of a recorded transaction or that a recorded asset is
being held by the outsider.
– Examination : Visual or electronic inspection or reading of documents such as
invoices, vouchers, and contracts and tracing and comparing amounts within
the accounting system.
– Reprocessing : Re-performing the processing of input data, recalculation of
allocation, or re-performance of internal control procedures.
– Analysis : Analytical monitoring of accounting output, computer operating
statistic, and input relations and reconsiliation of related records.( such as sales
versus cost of sales and units produced versus unit sold).
Figure 6.1.
diagrams the essential subject matter for detailed tests.
02. An Example: LJ Appliances' Inventory
and Cost of Sales
Figure 6.2.
Figure 6.2 shows an arrow from the accounting
output records to the real world operationalize
by selecting product types from the database
and then observing the quantities of inventory
on hand for the selected types.
Detailed tests of controls
• There are also three tests or procedures that auditors apply within
information world elemens that indirectly verify the validity of
inventory. these are drawn in figure 6.2 as (unlabeled ) arrows that
begin and end at each of the three information world elements. This
type of test is known as a detailed test of controls.
• Inventory counts and Observation
– To illustrate detailed monitoring, let's be specific about the periodic
physical counting of inventory for LJ Appliances.
– The counting task is not easy, and to assure accuracy , LJ‘ s uses a
systematic approach.
03. Auditing Computer Input and
Processing
Figure 6.3.a 6.3.b
Figure 6.3.c
•
SCARF (program test and data test)
04. Auditing Recorded Accounting Output
Generalized Audit Software
•
Select items based on criteria
–
•
Select items at random
–
•
GAS can summarize files in total or by segment , and it can reformat data.
Reprocess
–
•
The auditor can enter observed test counts or confirmed amounts into a file, and the GAS
traces the counts to the appropriate inventory or other asset records, compares counts to
recorded amounts, and lists any differences.
Summarize and reformat data
–
•
This approach is the opposite of selection based on criteria in that which items are selected
is unpredictable.
Trace and Compare
–
•
From the output file, GAS can select items that have certain characteristics or combinations
of characteristics.
GAS can reprocess transactions in several different ways.
Evaluate the program
–
GAS can also use an application program as input. An application program , set of access
codes, or other element of the computer system is processed by analyzing it for content or
for inconsistency of assigned duties.
Figure 6.4.
Six features are typically contained in
Generalized Audit Software (see figure 6.4)
Five features are applied to the inputs and
outputs of the accounting system (that is,
data and file-based), and the sixth is applied
to the company's application software.
05. Auditing Sampling Concepts
06. Auditing Accounting Allocations and Accounting
Estimates
07. Integrating Information Processing Risk and Monitoring
Failure Risk
Figure 6.5 diagrams the internal auditor's belief about possible accounting misstatement prior
to application of monitoring procedures.