An IS auditor has identified potential fraud activity perpetrated by the network administrator.
What should the auditor do FIRST?
An IS auditor has identified potential fraud activity perpetrated by the network administrator.
What should the auditor do FIRST?
When an IS auditor identifies potential fraud activity, the first priority should be to gather sufficient and accurate evidence to substantiate the findings. Performing more detailed tests before disclosing audit results ensures that any conclusions are based on robust and comprehensive data. This approach minimizes the risk of false alarms and supports an informed and credible communication with the relevant stakeholders, thus facilitating a more effective resolution process.
C. Perform more detailed tests prior to disclosing the audit results.
A comes first,It is important to notify the audit committee as soon as possible to ensure a timely resolution of the issue and to minimize the risk of further harm to the organization.
IS auditor can only notify audit management and not audit committee
When an IS auditor identifies potential fraud activity, the first step should be to perform more detailed tests to gather additional evidence and validate the findings. It is crucial to ensure the accuracy and completeness of the audit findings before taking further actions. Performing additional tests before disclosing audit results helps ensure that the auditor has a comprehensive and accurate understanding of the situation, allowing for more informed communication with relevant stakeholders. This approach strengthens the credibility of the audit findings and supports a more effective and timely resolution.
Answer C suggests performing more detailed tests before disclosing the audit results. This is a prudent course of action, as it ensures that the audit findings are accurate and reliable before any further actions are taken. However, it may delay the investigation
This option emphasizes responding quickly to potential misconduct. Notifying the audit committee raises the issue's importance so that appropriate action can be taken.
By notifying the audit committee first, the auditor initiates the appropriate channels for further investigation and action.
Answer B suggests sharing the potential audit finding with the security administrator. This is a good option, as the security administrator is responsible for maintaining the security of the organization's information systems. They may be able to help investigate the potential fraud and take appropriate actions to prevent further damage. In conclusion, the best course of action for the IS auditor is to share the potential audit finding with the security administrator, perform more detailed tests to verify the findings, and then review the audit finding with the audit committee. This ensures that the investigation is conducted effectively and efficiently while minimizing the risk of alerting the suspected fraudster.
C is correct