RISK-BASED APPROACH AUDIT

Discussion question

Explain the four steps of the risk-based audit approach, and discuss how they apply to the overall security of a company.

Read the four steps of the risk-based audit approach in my textbook (photo that I attached). You just need to explain it some more and discuss how they apply to the overall security of a company.

250-300WORDS

Answer preview

The risk-based approach provides an outline of detecting and combating errors or frauds in a company using the information system.  The risk-based approach follows four steps. The first step involves determining threats (errors and frauds) facing a company.  According to Labodová, (2004), risks are the threats that make the company vulnerable. At this step, management lists all the probable risk that the company may face in future.  The risks are not only restricted to the hacking only, but it may also include other risks such as fire, frauds, theft, and so on.  The second step involves identifying the control…

 

(300 words)