QUESTION 6

(1) Discuss the ways in which audits of computer-based information systems might affect information systems organisation, system development activities, computer operations, files, and other aspects being audited.[5 marks]

(2) Large public audit firms often have in their offices computer terminals that are connected directly to the computer systems of major client firms. Discuss how these hook-ups can be beneficial to the external auditors in performing tests of controls.[4 marks]