Section: Information System Acquisition, Development and Implementation

Communicating the possibility of a conflict of interest to management prior to starting the assignment is the correct answer. A possible conflict of interest, likely to affect the auditor's independence, should be brought to the attention of management prior to starting the assignment. Declining the assignment is not the correct answer because the assignment could be accepted after obtaining management approval. Informing management of the possible conflict of interest after completion of the audit assignment is not correct because approval should be obtained prior to commencement and not after the completion of the assignment. Informing the business continuity planning (BCP) team of the possible conflict of interest prior to starting of the assignment is not the correct answer since the BCP team would not have the authority to decide on this issue.

Explanation/Reference:
Explanation:
Collusion is an active attack that can be sustained and is difficult to identify since even well-thought-out application controls may be circumvented. The other choices do not impact well-designed application controls.

Ensuring periodic dumps of transaction logs is the only safe way of preserving timely historical datA . The volume of activity usually associated with an online system makes other more traditional methods of backup impractical.