Computer assisted audit techniques

Uses

• Tests of details of transactions and balances
• Analytical review procedures
• Compliance tests of IS general controls
• Compliance tests of IS application controls

• Computer knowledge/experience of auditor
• Availability of suitable CAATs and IS facilities
• Effiency of CAATs over manual techniques
• Time constraints
• Level of audit risk
• Integrity of information system/IT environment

• Set audit objectives of CAATs
• Determine availability of data
• Define procedures to be undertaken
• Define output requirements
• Determine resource requirements

• Perform recon of control totals (if applicable)
• Review output for reasonableness
• Perform review of logic/characteristics
• Review general IS controls that contribute to integrity of CAATs

Audit command language

• Generalized audit software for performing CAATs
• Perform tests in seconds; some can't be done manually
• 100% coverage over population
• Identifies patterns and anomalies
• Applications: A/R, inventory, JEs, check register, loans/checking/deposits, property, insurance