An external IS auditor is reviewing the continuous monitoring system for a large bank and notes several potential issues.
Which of the following would present the GREATEST concern regarding the reliability of the monitoring system?
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A. B. C. D.A.
The reliability of a continuous monitoring system is important to ensure that it provides accurate and timely information that management can use to make informed decisions. A potential issue with the system may indicate a risk to the reliability of the system.
A. The fact that system results are not regularly reviewed by management is a concern as this could lead to incorrect or incomplete data being used for decision-making. However, this issue is not the greatest concern.
B. The periodic variation of the measurement method is also a concern as it may introduce inconsistencies in the data. However, if the variations are documented and justified, it may not be a significant issue.
C. The fact that the monitoring system was configured by internal auditors may also be a concern as it may lead to a lack of independence in the monitoring process. However, this may not be the greatest concern if proper checks and balances are in place to ensure the system's reliability.
D. The alert threshold being updated periodically is the greatest concern regarding the reliability of the monitoring system. If the alert threshold is not set appropriately, it could lead to false positives or false negatives, resulting in incorrect decisions or missed opportunities for the bank to address potential issues.
Therefore, the correct answer is D. The alert threshold being updated periodically presents the greatest concern regarding the reliability of the monitoring system.