AUDIT ANALYTICS AUDIT

AUDIT ANALYTICS AND CONTINUOUS AUDIT:LOOKING TOWARD THE FUTURE
The need to incorporate exploratory data analysis into extant audit
methodology. Liu (2014) proposes such a step in figure 1-11 where
she expects intelligent modules to interface with a wide variety of
data sources.
Progressive impounding of audit apps into the operating
environment.
The evolution of an audit ecosystem with a progressive level of
automation over financial and non-financial systems.
Figure 1-11: EDA and CA (from Liu, 2014)
CA Can Be Redefined As
a methodology that enables auditors to provide assurance on a
subject matter for which an entity’s management is responsible,
using a continuous opinion schema issued virtually
simultaneously with, or a short period of time after, the occurrence
of events underlying the subject matter. The continuous audit may
entail predictive modules and may supplement organizational
controls. The continuous audit environment will be progressively
automated with auditors taking progressively higher judgment
functions. The audit will be by analytic, by exception, adaptive,
and cover financial and non-financial functions.
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