1. During an implementation review of a multiuser distributed application, the IS auditor finds minor weaknesses in three areas-the initial setting of parameters is improperly installed, weak passwords are being used and some vital reports are not being checked properly. While preparing the audit report, the IS auditor should:
A. record the observations separately with the impact of each of them marked against each respective finding.
B. advise the manager of probable risks without recording the observations, as the control weaknesses are minor ones.
C. record the observations and the risk arising from the collective weaknesses.
D. apprise the departmental heads concerned with each observation and properly document it in the report.
Individually the weaknesses are minor; however, together they have the potential to substantially weaken the overall control structure. Choices A and D reflect a failure on the part of the IS auditor to recognize the combined affect of the control weakness. Advising the local manager without reporting the facts and observations would conceal the findings from other stakeholders.
2. During a security audit of IT processes, an IS auditor found that there were no documented security procedures. The IS auditor should:
A. create the procedures document.
B. terminate the audit.
C. conduct compliance testing.
D. identify and evaluate existing practices.
One of the main objectives of an audit is to identify potential risks; therefore, the most proactive approach would be to identify and evaluate the existing security practices being followed by the organization. An IS auditor should not prepare documentation, and if they did, their independence could be jeopardized. Terminating the audit may prevent achieving one of the basic audit objectives, i.e., identification of potential risks. Since there are no documented procedures, there is no basis against which to test compliance.