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Chapter 3
POIS
Protection of Information Systems
#3.11 Financial Controls
Heading points:
- Authorization: This entails obtaining the authority to perform some act typically accessing to such assets as accounting or application entries.
- Budgets: These estimates of the amount of time or money expected to be spent during a particular period, project, or event. The budget alone is not an effective control. Budgets must be compared with the actual performance, Including isolating differences and researching them for a cause and possible resolution.
- Cancellation of documents: This marks a document in such a way to prevent its reuse. This is a typical control over invoices marking them with a "paid" or "processed" stamp or punching a hole in the document.
- Dual control: This entails having two people simultaneously access an asset. For example, the depositories of banks' 24-hour teller machines should be accessed and emptied with two people present, many people confuse dual control with dual access, but these are distinct and different. Dual access divides the access function between two people: once access IS achieved, only one person handles the asset. With teller- machines, for example, two tellers would open the depository vault door together, but only one would retrieve the deposit envelopes.
- Input/ output verification: This entails comparing the information provided by a computer system to the input documents. This is an expensive control that tends to be over-recommended by auditors. It is usually aimed at such non-monetary by dollar totals and item counts.
- Safekeeping: This entails physically securing assets, such as computer disks, under lock and key, in a desk drawer, file cabinet storeroom, or vault.
- Sequentially numbered documents: These are working documents with preprinted sequential numbers, which enables the detection of missing documents
Mnemonics:
Chanda Kochhar vala: Chanda Kochhar ICICI bank ki MD, CEO hai उनका Financial Control बहुत अच्छा है।
Background: Bank मे जैसे काम होता है Cash deposit/withdrawal, counting etc
Chanda kochhar Authorize करती है: AUTHORIZATION
हर आने जाने वाली transaction को : INPUT/OUTPUT VERIFICATION
Slip (pay-in, withdrawal) को safely रखने के लिए बोलै हुआ है सबको : SAFEKEEPING
जो slips cancel भी होती है उनको भी safe रखने को बोलै हुआ है : CANCELLATION OF DOCS
जब Month end होता है तो Sequentially Number डालते है slips पे: SEQUENTIALLY NO. DOCS
सारे CASH का Budget बनाते है फिर: BUDGETS
जिससे DUAL Control लग सके।: DUAL CONTROL
Mnemonic Video:
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