Smith, a certified public accounting firm, was engaged to auditthe financial statements of the Sky-is-the-Limit company. Thecompany has its own IT installation. While obtaining anunderstanding of internal control, Smith found thatSky-is-the-Limit lacked proper segregation of the programming andoperating functions. Smith analyzed the internal controlsurrounding the system to ensure that the corporate governance wasbeing maintained, and he concluded that the existing compensatinggeneral control activities provided reasonable assurance that theobjectives of internal control were being met.
Please discusses the following:
How is the separation of the programming and operating functionsaccomplished in a properly functioning IT environment?<... View full description