ACCA Advanced Audit and Assurance (AAA) Practice Exam

What type of audit specifically tests controls over computer systems?

1. Financial audits

2. Information technology audits

3. Regulatory compliance audits

4. Fraud investigations

The correct answer is: Information technology audits

The correct choice, which focuses on information technology audits, is appropriate because these audits are specifically designed to assess and evaluate the controls that are in place over computer systems and IT environments. Information technology audits examine the efficiency, effectiveness, and security of an organization's information systems. This includes evaluating how data is processed, stored, and transmitted, as well as looking into controls that protect sensitive data and ensure the integrity and availability of information systems. In contrast, financial audits primarily focus on the accuracy and fairness of financial statements; they may reference IT controls but do not specialize in testing those controls in the way that IT audits do. Regulatory compliance audits, while important, are centered on ensuring adherence to laws and regulations rather than on the specific controls and processes related to IT systems. Lastly, fraud investigations are aimed at detecting and preventing fraud, often through a forensic approach, rather than assessing the general IT governance and related controls. This distinction highlights the specialized nature of information technology audits in the broader context of auditing practices.