1. There are seven steps to follow to maintain continuous auditing. Which is the correct order of events?

a. Assess emerging risk, establish priority areas, identify audit rules, configure parameters and execute

b. Identify audit rules, determine process frequency, report results, manage results and follow up

c. Establish priority areas, determine frequency, manage results, assess emerging risk

d. Determine process frequency, assess emerging risk, configure parameters and execute, manage results

2. According to the National Retail Federation, in 2014 retailers lost __________ to employee theft.

a. $15 billion

b. $25 billion

c. $5 billion

d. $10 billion

3. All of the following are advantages of using data analytics for testing except for

a. Providing the ability to bring in data from different systems and source types

b. Enabling sample testing rather than testing an entire population of data

c. Point-and-click analytic commands designed to speed up analysis and quickly identify anomalies

d. Protecting the confidentiality and integrity of source data

4. All of the following were identified as technology-driven opportunities for improving audit effectiveness and efficiency except for

a. Auditing with big data

b. Increasing false positives

c. More effective fraud detection

d. None of the aboveall selections are noted opportunities

5. All of the following are advantages to installing a zapper on your POS system except for

a. Hiding sales from the government to avoid paying sales taxes

b. Preventing staff members from skimming money from the business

c. Avoiding paying franchise fees based on a shared revenue agreement

d. Reducing obligations to nonmanaging owners