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Flashcards in Chapter 5 Deck (25)
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1
Q

4 types of AIS threats

A
  1. Natural and political disasters
  2. Software errors
  3. Unintentional acts
  4. Intentional Acts
2
Q

fires, floods, earthquakes, hurricanes, tornadoes, blizzards, wars, and attacks by terrorists-can destroy an information system and cause many companies to fail

A

Natural and political disasters

3
Q

operating system crashes, hardware failures, power outages and fluctuations, and undetected data transmission errors constitute a second type of threat.

A

Software errors

4
Q

accidents or innocent errors an omissions, the greatest risk to information systems and causes the greatest dollar losses.

A

unintentional acts

5
Q

a computer crime, a fraud, or sabotage, which is deliberate destruction or harm to a system

A

intentional acts

6
Q

an intentional act where the intent is to destroy a system or some of its components

A

sabotage

7
Q

a text file by a website and stored on a visitor’s hard drive. Cookies store information about who the user is and what the user has done on the site

A

cookie

8
Q

any and all means a person uses to gain an unfair advantage over another person

A

fraud

9
Q

typically businesspeople who commit fraud. white-collar criminals usually resort to trickery or cunning, and their crimes usually involve a violation of trust or confidence

A

white collar criminals

10
Q

dishonest conduct by those in power which often involves actions that are illegitimate, immoral, or incompatible with ethicals standards. Examples include bribery and bid rigging

A

corruption

11
Q

misrepresenting or leaving out facts in order to promote an investment that promises fantastic profits with little or no risk. Examples include Ponzi schemes and securities fraud

A

investment fraud

12
Q

theft of company assets by employees

A

misappropriation of assets

13
Q

reporting intentional or reckless conduct, whether by act or omission that results in materially misleading financial statements

A

fraudulent financial reporting

14
Q

a person’s incentive or motivation for committing fraud

A

pressure

15
Q

the condition or situation that allows a person or organization to commit and conceal a dishonest act and convert it to personal gain

A

opportunity

16
Q

concealing the theft of cash by means of a series of delays in posting collections to accounts receivable

A

lapping

17
Q

creating cash using the lag between the time a check is deposited and the time it clears the bank

A

check kiting

18
Q

the excuse that fraud perpetrators use to justify their illegal behavior

A

rationalization

19
Q

three elements of the opportunity triangle

A

commit the fraud, conceal the fraud, convert the theft or misrepresentation to person gain

20
Q

auditors are required to

A

understand fraud, discuss the risks of material fraudulent misstatements, obtain information, identity asses and respond to risk

21
Q

any type of fraud that requires computer technology to perpetrate

A

computer fraud

22
Q

the simplest and most common way to commit a computer fraud is to

A

alter or falsify computer input (input fraud)

23
Q

includes unauthorized system use, including the theft of computer time and services

A

processor fraud

24
Q

includes tampering with company software, coping software illegally , using software in an unauthorized manner, and developing software to carry out an unauthorized activity

A

computer instructions fraud

25
Q

illegally using, copying, browsing, searching, or harming company data constitutes

A

data fraud