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NEW QUESTION: 1
Which of the following would be the MOST significant audit finding when reviewing a
point-of-sale (POS) system?
A. invoices recorded on the POS system are manually entered into an accounting application
B. Frequent power outages occur, resulting in the manual preparation of invoices
C. An optical scanner is not used to read bar codes for the generation of sales invoices
D. Customer credit card information is stored unencrypted on the local POS system
Answer: D
Explanation:
It is important for the IS auditor to determine if any credit card information is stored on the local point-of-sale (POS) system. Any such information, if stored, should be encrypted or protected by other means to avoid the possibility of unauthorized disclosure. Manually inputting sale invoices into the accounting application is an operational issue, if the POS system were to be interfaced with the financial accounting application, the overall efficiency could be improved. The nonavailability of optical scanners to read bar codes of the products and power outages are operational issues.

NEW QUESTION: 2
Your customer doesn't want to implement profitability analysis, not even account based, because the company doesn't understand the its value. Which argument would you use to persuade the customer?
A. Balance sheets can be analyzed by sales-specific characteristics.
B. Profit and loss statements can be analyzed by sales-specific characteristics.
C. Down payment integration can be performed with SD.
D. Sales orders can be forecasted as liquidity items in cash flow reports.
Answer: B
Explanation:
This question is borderline as far as if it can be answered with the content in this book. Though we try to be consistent with the "everything can be found in the materials" rule, there are some questions where it helps (but isn't strictly required) to have some "outside" experience to answer. In this case, you know that many fields coming from SD are transferred to the Universal Journal as values of CO-PA characteristics. Anything that finds itself as information on the line item in the Universal Journal can be analyzed in reports, including the P&L statement, so A is the correct answer. The distractors here are wrong:
CO-PA is updated for P&L accounts, so no balance sheet entries (usually); liquidity forecasting has nothing to do with CO-PA; and the same is true with payment and down-payment processing. SAP recommends that account-based CO-PA be activated for all SAP S/4HANA systems by default, even if a customer won't initially make use of it.

NEW QUESTION: 3

A. Option B
B. Option A
C. Option C
D. Option D
Answer: C