CISA Information System Auditing Process Practice Question
Which TWO of the following are types of analytical procedures used in an IS audit? (Select two.)
⚠ Common exam trap
CISA often tests whether candidates can distinguish evidence-gathering techniques (inquiry, observation, re-performance) from analytical procedures (ratio, trend, regression, reasonableness).
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Ratio analysis
Ratio analysis (A) is a correct type of analytical procedure because it compares financial or operational relationships—such as the current ratio or inventory turnover—to identify unusual variances or anomalies that may signal control weaknesses or misstatements during an IS audit. Trend analysis (D) is also correct because it examines data across multiple periods to detect patterns, directional changes, or outliers, such as a rising rate of failed login attempts or increasing transaction error rates, which helps auditors assess risk and system performance. Observation (B), re-performance (C), and inquiry (E) are not analytical procedures; they are substantive audit techniques or evidence-gathering methods—observation involves watching processes, re-performance involves independently executing controls or calculations, and inquiry involves asking personnel questions—none of which rely on the analytical comparison of financial or operational data relationships.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Ratio analysis
Why this is correct
Ratio analysis is an analytical procedure that compares financial or operational relationships, such as current assets to current liabilities, to identify unusual variances or trends. It is one of the recognised techniques IS auditors apply when performing substantive and preliminary analytical review.
- ✗
Observation
Why it's wrong here
Observation is a test of controls or substantive procedure gathering evidence by watching processes, not an analytical procedure. Analytical procedures compare financial or operational data to expectations. Observation would be correct when assessing whether personnel actually perform a documented control.
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Re-performance
Why it's wrong here
Re-performance independently executes a control or calculation to verify its result, producing direct evidence rather than analysing relationships in data. Analytical procedures involve comparing recorded amounts against expectations. Re-performance would be the right choice when testing whether a specific control operates as designed.
- ✓
Trend analysis
Why this is correct
Trend analysis is an analytical procedure that examines changes in account balances or operational metrics across successive periods to detect patterns, unexpected fluctuations or deteriorating conditions. It is one of the recognised techniques IS auditors use during analytical review procedures.
- ✗
Inquiry
Why it's wrong here
Inquiry is a technique for gathering evidence, not an analytical procedure; analytical procedures evaluate financial or operational data through comparisons, ratios and trend analysis. It is tempting because inquiry is listed among audit evidence-gathering methods, and it would be the right choice if the question asked how auditors obtain corroborating information from personnel.
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JA
Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official ISACA exam blueprint
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