Accounting Information Systems: Example Problem

You are the information systems auditor for PQR Preschools Pty Ltd. Over the course of the last internal audit, you have become suspicious that somebody in the Payroll department has been modifying electronic payroll data. You are to write a one-page memo to the payroll manager, Mr. Greg Grunter, informing him of you intention to deploy a series of audit hooks in the computerized payroll system. These hooks will notify you if any one of the payroll clerks' attempts to access electronic payroll records after the data entry of employee timesheets. In your memo, you should include a brief statement of what audit hooks are, as well as how and why you will use them in this instance.

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...ed in for monthly payroll entries. Examination of a sample of payroll records has made me suspicious that the benefits of the employees are being increased in an unauthorized manner. The timing of these unauthorized entries is such that it is difficult to separate them from the actual monthly entries being made by the payroll clerk. In some cases, I suspect that these unauthorized changes are being made to payroll data after the payroll clerk has logged in and entered employee timesheet information. This makes it very difficult to detect the unauthorized changes from the authorized changes. As the access to the payroll is limited to the payroll ...