Batch Controls

Which of the following is NOT a control objective of internal controls?

• Completeness

• Accuracy

• Rights and Obligations

• Occurrence and Authorisation

Answer explanation

Rights and Obligations is not an objective of internal controls, but rather an auditing assertion.

Based on the information in question 1.5, what is the Financial Total?

• R 9 641.00

• R 9 614.00

• R 139 496.00

• R 6.00

• R 6 941.00

Answer explanation

The correct answer is R 9 641.

Based on the information in question 1.5, what is the Hash Total?

• 9 641

• 139 496

• 6

• 264

• 219

Answer explanation

The correct answer is 139 496. The total of any numerical field other than the financial total field. It does not have to make logically sense.

Based on the information in question 1.5, what is the Record Total?

• 9 641

• 139 496

• 47 878

• 6

Answer explanation

The correct answer is 6. This is the total number of records in the batch.

Which of the following should be included on the batch control sheet?

TIP: This question has more than 1 correct answer.

• Unique Batch number

• Control Totals

• Identification of the transaction

• Signatures of the staff responsible for the batch

Answer explanation

All of the answers are correct. All of the information should be included in the batch control sheet.

Which control objective(s) are addressed by comparing the FINANCIAL TOTAL calculated on the Batch Control sheet to the Financial Total calculated by the computer?

TIP: This question can have more than one correct answer.

• Accuracy

• Completeness

• Authorisation

• Occurance

Answer explanation

The FINANCIAL TOTAL provides assurance over the completeness and the accuracy of the transaction values. I.E. All the transactions have been captured at the correct amounts.

Which control objectives does the Record Total address when comparing the record total calculated in the batch control sheet to the record total calculated by the computer?

• Completeness

• Accuracy

• Authorisation

• Occurrence

Answer explanation

The RECORD TOTAL provides assurance over ONLY the completeness of the transactions. I.E. All the transactions have been captured.

Based on the information provided in question 1.5: Assume that the HASH TOTAL entered into the computer system by Mr. T Jonas is 139 496 before he captures the information. After all the information was captured, the computer system calculated the HASH TOTAL as 139 469. Should the computer system allow the processing of the batch to continue?

• Yes, processing can continue

• No, processing cannot continue

• I am not sure

• What is going here? Am I even in the right class?

Answer explanation

The correct answer is that processing should not continue. Because the total BEFORE the transaction does not match the total AFTER the transactions, it means that there is a mistake, duplicate or missing transaction.