Question

An internal auditor should have a sound understanding of basic data processing concepts such as data organization and storage in order to adequately evaluate systems and make use of retrieval software.

1. Define the following terms as used in a data processing environment (all are nouns): (1) field, (2) record, and (3) file.
2. (1) Define a database. (2) List two advantages and two disadvantages of a database system. (CIA adapted)

Answer 1

Explanation to all the above terms

1. Field :- a field is an area in a fixed or known location in a unit of data such as message header, data, computer instruction, that has a purpose and usually in fixed size

2. Record :- collection of data items arranged for processing by a program . Multiple records are contained in a file or data set. All records length are based on the data they stored it vary from one record to other

3. File :- a file is a related collection of records

4. Database :- a database is a collection of logically related data

5. Advantages of database

A. Huge volume of data can be stored at one place

B. Avoiding traditional method we can provide logical and physical security to database

C. Database provide a user friendly interface to end users

D. It replaces the traditional maintenance of books and papers and saves a large space.

6. Disadvantages of database

A. There is a chance of hacking of database

B. Employes of the company which uses database need to get knowledge about these technology

C. Installation and maintenance of database incur huge cost to the organization

D. If any technical error arises in the course of usage of database it may leads to lossing of data

Hence , these are all the explanation about requested terms and advantages and disadvantages

Thank you.