Medium4 marksMultiple Choice
Syllabus C: Business functions, regulation and technologySyllabus CTechnologyInternal ControlsSection B

ACCA · Question 49 · Syllabus C: Business functions, regulation and technology

[Section B - MTQ] SCENARIO: 'GlobalLogistics Inc.' is upgrading its IT infrastructure. They are migrating their data to a public Cloud, implementing Blockchain for customs documentation, using Big Data analytics to optimize delivery routes, and establishing new internal controls to prevent cyber-attacks.

Select the FOUR correct statements regarding these technological and control implementations.

Answer options:

A.

Using a public Cloud means GlobalLogistics will access computing resources over the internet from a third-party provider, converting capital expenditure (buying servers) into operational expenditure.

B.

Blockchain will allow GlobalLogistics employees to easily delete and alter historical customs records whenever a mistake is made.

C.

Big Data analytics in this context relies on high 'Velocity' data, such as real-time GPS tracking from thousands of delivery trucks.

D.

To ensure segregation of duties, the IT developer who writes the code for the new routing software should also be the person who authorizes it for live production use.

E.

Implementing mandatory Two-Factor Authentication (2FA) for all employee logins is an example of an information processing control designed to mitigate cyber-security risks.

F.

A 'Ransomware' attack would involve hackers secretly stealing data without disrupting the company's operations.

G.

The immutability of Blockchain provides a highly reliable audit trail for external auditors verifying the authenticity of customs transactions.

H.

Cloud computing eliminates all need for GlobalLogistics to have internal IT security policies, as the cloud provider assumes 100% of the legal risk.

How to approach this question

Evaluate the definitions and implications of Cloud, Blockchain, Big Data, and IT Controls.

Full Answer

This MTQ tests Syllabus C. Cloud computing shifts CapEx to OpEx (A). Real-time GPS represents Big Data Velocity (C). 2FA is a key IT control (E). Blockchain's immutability creates strong audit trails (G). The distractors misunderstand blockchain (it's not editable), segregation of duties, ransomware, and cloud liability.

Common mistakes

Believing that moving to the cloud transfers all security responsibility to the provider. The client always retains data governance responsibility.

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