During audit engagement planning, an internal auditor is determining the best approach for leveraging computer-assisted audit techniques (CAATs). Which of the following approaches maximizes the use…

The correct answer is D. Reperformance, because it enables the auditor to verify that the application performed the. Reperformance is a CAATs approach that involves independently executing the same procedures as the original process to verify the accuracy of the application's calculations. This approach maximizes the use of CAATs because it directly tests the functionality and reliability of…

Performing the Engagement

Question

During audit engagement planning, an internal auditor is determining the best approach for leveraging computer-assisted audit techniques (CAATs). Which of the following approaches maximizes the use of CAATs and why?

Options

ATracing, because it would enable the auditor to verify quickly that the record counts were properly
BInspection, because it would enable the auditor to verify how management enters the data into the
CTesting data, because it would enable the auditor to ensure that the application processes the
DReperformance, because it enables the auditor to verify that the application performed the

How the community answered

(36 responses)

A
6% (2)
B
14% (5)
C
3% (1)
D
78% (28)

Explanation

Reperformance is a CAATs approach that involves independently executing the same procedures as the original process to verify the accuracy of the application's calculations. This approach maximizes the use of CAATs because it directly tests the functionality and reliability of the system by ensuring that the system processes transactions and calculations correctly, as intended by

Topics

#CAATs#reperformance#computer-assisted audit techniques#application controls testing

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