Audit Data Analytics To Traditional Procedures Mapping Document

Audit Data Anal
Map
I. Purpose
The purpose of this mapping document is to illustrate what tools and applications are available today that can help to facilitate
The mapping document also aligns general, traditional audit procedures to the (1) industry they cover (if applicable), (2) releva
(4) phase of the audit, (5) applicable auditing standard, (6) significant account being tested, (7) relevant audit data standard do
mapping document also links to examples found in the AICPA's Guide to Audit Data Analytics.
II. Notice to Readers

This Audit Data Analytics to Audit Procedures mapping document (mapping document) is designed to provide illustrative infor
The material was prepared by AICPA staff and has not been considered or acted upon by senior technical committees or the AI
understanding that the staff and publisher are not engaged in rendering legal, accounting, or other professional service. If lega
The staff and publisher make no representations, warranties, or guarantees about, and assume no responsibility for, the conten
use of, reference to, or reliance on such material. Please note that the audit data analytic vendor tools mentioned are referenc
to each "Traditional Audit Procedure" is included to offer additional guidance. The "Traditional Audit Procedure" is not limited
III. Layout and Organization of the Mapping Document

The mapping document is organized into the following sections:
Title Overview
Tab #1 Introduction Discusses the purpose of the document.
This tab includes the full library of example audit

related audit assertions, auditing standards, and
standards. Example audit data analytics are also
Tab #2 Library by Audit Phase and Account illustrate how some traditional procedures could
This tab includes a number of visualization and da

options that could be used to support risk assessm
Tab #3 Visualization & Dashboard Ideas audit procedures.
The following tabs (4–23) break out the library of
procedures by audit phase and account. Please no
tabs include the same procedures that are also in
Tab #4 Divider the "Library by Audit Phase" tab.
This spreadsheet focuses on the risk assessment a

and includes some example audit procedures that
Tab #5 Risk Assessment performed to gain an understanding of the entity
This spreadsheet includes general audit procedur

Tab #6 Journal Entry Procedures performed over manual and automated journal e

Tab #7 Cash performed to test cash accounts.

Tab #8 Marketable Securities performed to test marketable securities.

Tab #9 Accounts Receivable performed to test accounts receivable.

Tab #10 Inventory performed to test inventory accounts.

Tab #11 Prepaid Expenses and Other Assets performed to test prepaid expenses and other ass

Tab #12 Investments performed to test investments.
This spreadsheet includes a general audit procedu

Tab #13 Impairment performed to test impairment and valuation adju

Tab #14 Intercompany performed to test intercompany balances.

the testing of long-term receivables, non-current
Tab #15 Long-Term Financial Assets other long-term financial assets.

Tab #16 Property, Plant, and Equipment (PPE) testing of PPE.
performed over intangible assets (including good
Tab #17 Intangibles (Including Goodwill) write-offs.

Tab #18 Notes Payable performed to test notes payable accounts.

Tab #19 Accounts Payable performed to test accounts payable.

Tab #20 Income Taxes performed to test company income taxes.

Tab #21 Other Liabilities performed to test other liabilities.

Tab #22 Debt performed to test debt accounts.

Tab #23 Equity performed to test equity accounts.
Audit Data Analytics to Audit Procedures
Mapping Document
day that can help to facilitate the automation of certain traditional audit procedures.
over (if applicable), (2) relevant audit assertions, (3) type of procedure being performed,
evant audit data standard document, and (8) example tool or application that could help to perform that particular procedure. The
d to provide illustrative information with respect to the subject matter covered. It does not establish standards or preferred practices.
chnical committees or the AICPA board of directors and does not represent an official opinion or position of the AICPA. It is provided with t
r professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be soug
responsibility for, the content or application of the material contained herein and expressly disclaim all liability for any damages arising ou
tools mentioned are referenced as examples only. They are not endorsed by or affiliated with the AICPA. Also note that the auditing stand
dit Procedure" is not limited to the standard noted, and additional standards may need to be considered in order to comply with requirem
Overview Number of Analytics Referenced

of the document. N/A
ull library of example audit procedures and

ns, auditing standards, and audit data
udit data analytics are also included to
raditional procedures could be automated. 92
mber of visualization and dashboard

used to support risk assessment and other
4
–23) break out the library of audit
hase and account. Please note that these
procedures that are also included within
Phase" tab. N/A
ses on the risk assessment area of the audit

ample audit procedures that can be
understanding of the entity under audit. 4
udes general audit procedures that could be

ual and automated journal entries. 21

h accounts. 2

rketable securities. 2

ounts receivable. 20

entory accounts. 8

paid expenses and other assets. 0

estments. 2
udes a general audit procedure that could be

pairment and valuation adjustments. 1

ercompany balances. 8
udes general audit procedures related to

rm receivables, non-current deposits, and
cial assets. 2
udes general audit procedures related to the

7
gible assets (including goodwill) as well as
0

es payable accounts. 3

ounts payable. 9

mpany income taxes. 0

er liabilities. 2

t accounts. 1

ity accounts. 0
particular procedure. The
dards or preferred practices.

of the AICPA. It is provided with the
rofessional person should be sought.
ability for any damages arising out of the
Also note that the auditing standard linked
in order to comply with requirements.
Library by Audit Phase and Account
I. Notice to Readers
This Audit Data Analytics to Audit Procedures mapping document (mapping document) is designed to provide illustrative infor
AICPA staff and has not been considered or acted upon by senior technical committees or the AICPA board of directors and doe
and publisher are not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assis
representations, warranties, or guarantees about, and assume no responsibility for, the content or application of the material c
on such material. Please note that the audit data analytic vendor tools mentioned are referenced as examples only. They are n
"Traditional Audit Procedure" is included to offer additional guidance. The "Traditional Audit Procedure" is not limited to the s
In addition, please note the following:
* Please note that this document is not intended to be all-encompassing. If you rely on system-generated reports and d
You may also need to perform procedures to test the completeness and accuracy of the data provided by the entity in
** Please note that the auditing standard linked to each "Traditional Audit Procedure" is included to offer additional guid
Additional auditing standards should be reviewed and consulted throughout the audit process.
*** Please note that the audit data analytics are referenced as examples only. They are not endorsed by or affiliated with
**** The assertions tested are a function of the actual audit procedures performed. Auditors may reach different conclusio
CLICK HERE TO NAVIGATE BACK TO THE INTRODUCTION TAB
* Industry
Traditional Audit Procedures
Risk Assessment Procedures

1 Obtain an understanding of the entity. General
Obtaining an understanding of internal control over financial

2 General
reporting.
Considering information from the client acceptance and retention

evaluation, audit planning activities, past audits, and other
3 General
engagements performed for the entity.
4 Performing analytical procedures. General
a. Obtain the entity's financial statements for the prior 3–5 years in
order to review trends and any inconsistencies. Obtain the financial
statements of the respective peer companies over the last 3–5 years General
and compare.
and compare.
b. For each account, calculate the mean, median, mode, and

standard deviation in order to determine where current accounts fall. General
Review the trends.
Conducting a discussion among engagement team members

5 General
regarding the risks of material misstatement.
Inquiring of management and others

6 General
within the company about the risks of material misstatement.
Journal Entry Procedures
Obtain understanding of the period-end financial reporting process,

1 General
including types and sources of journal entries.
Obtain understanding of the period-end financial reporting process,
1 General
including types and sources of journal entries.
Obtain and review a listing of journal entries made during the period
2 and perform audit procedures to determine the completeness of the General
population.
3 Identify population of journal entries to be selected for testing. General
a. Examine population for missing or incomplete journal entries.

General
b. Examine possible duplicate account entries. General

c. Examine round-dollar entries. General
d. Examine post-date entries. General
e. Examine entries posted on weekends. General
For all journal entry selections made, perform the following

4 procedures:
a. Obtain and review supporting documentation for each journal General

entry selected.
b. Review each entry for proper authorization. General
c. Observe proper segregation of duties. General
General Audit Procedures
Cash:
1 General
Obtain a complete list of bank accounts (debit and credit balances)
as well as related loan and similar contracts. Obtain and send bank
confirmations for all accounts, including accounts closed during the
year, requesting information about account balances, contingencies,
liens, pledges, restrictions on the client’s assets, guaranteed
amounts, and so on. If there is a valid reason for not confirming all
accounts, document the rationale in the working papers.
2 General
Examine bank reconciliations as of year-end, including cash-in-transit

accounts, to verify the proper reconciliation of bank statements and
general ledger accounts. When appropriate (for example, to
determine whether receipts or disbursements are recorded on a
timely basis or to verify the appropriateness of reconciling items),
obtain cut-off bank statements.
3 General
Test cutoff of cash receipts and cash disbursements for transfers
between different bank accounts at the balance sheet date.
4 General
Test appropriate valuation of cash and cash equivalents (including
overdrafts) in foreign currencies.
Marketable Securities:
1 General
Verify the existence and ownership of recorded securities through

confirmation or examination of evidence of ownership (for example,
stock certificates, bank statements, broker statements).
2 General
Review confirmation replies for evidence of the existence of

marketable securities and of liens, pledges, or other security
interests in marketable securities.
3 General
Inspect market quotations or other evidence of current value of
marketable securities, including those in foreign currencies.
4 General
Test that marketable securities are carried in accordance with the
client's accounting policies or applicable financial reporting
framework.
Accounts Receivable:
1 General
Agree receivables sub-ledger to the general ledger control account

and investigate large and unusual reconciling items.
2 General
Confirm accounts receivable.
Determine the size of the sample and document the rationale for the
method used to select the sample in the working papers. Examine
subsequent cash receipts, shipping records, sales contracts, and
other evidence to verify the validity of accounts receivable for which
replies to confirmation requests are unsatisfactory or were not
obtained, or as part of supporting year-end receivables balances.
3 General
If accounts are verified at an interim date, review the “roll-forward”

of activity from the interim date to the balance sheet date in a
manner responsive to our risk assessment and compare level of
activity for the current period with prior periods. Investigate unusual
items; consider confirming (at the balance sheet date) significant
new accounts and those accounts with significant increases or
decreases between the interim date and the balance sheet date.
3 General

4 General
Perform analytical procedures to identify peaks in sales volume in
the last few days or weeks of the year and test cutoff by inspecting
sales register, billings, shipping documents, and other supporting
documents before and after the year-end date. When substantive
procedures are performed at an interim date, perform cut-off testing
at that date also. Interim cut-off testing can include either tests of
controls over the timely recording of transactions or relevant
substantive testing.
5 Evaluate the adequacy of the allowance for doubtful accounts. General
Evaluate the adequacy of other adjustments to accounts receivables,

6 General
such as rebates, credit memos, and discounts.
Test appropriate valuation of accounts receivables in foreign

7 General
currencies.
Inquire about or review list of credit balances and investigate large
8 General
items.
Test cutoff of receivables and sales.

9 General
Inventory:
1 General
Observe the taking of physical inventory to establish the following:
General
a. The client’s personnel are complying with the instructions for
taking inventory.
General
b. Items belonging to the client, or belonging to others but for
which the client is responsible, are accurately counted and recorded.
General
c. Items to be excluded from inventory (no-value items, non-
inventory items, items belonging to others) are either subject to
satisfactory control and excluded from the counting process or are
accurately counted and recorded, including a clear description of
their non-inventory status.
General
d. Count tags, sheets, or cards are properly controlled.
e. Perform tests of the client’s counts (from the floor to the General
recorded counts and from recorded counts to the floor); record
sufficient information to be able to trace the test counts into the
inventory compilation at a later date; record selected information
concerning the tags, sheets, or cards that are used, partially used,
unused, and voided.
f. Inspect shipping, receiving, and transfer documents and the
related inventory items, when appropriate, to establish the numbers General
of the last documents used and other information needed to
subsequently verify cutoffs in the accounting records.
2 Review the physical inventory compilation:
a. Trace test counts, confirmations, and, if necessary, records of the

count prepared by the client (for example, count tags, sheets, or
cards) to the inventory compilation. Determine that the unit of General
measure used in the physical inventory compilation is consistent with
the unit of measure used during the physical count.
b. Trace items on the final inventory listing to the physical inventory

tags. Determine that the unit of measure used in the physical General
inventory compilation is consistent with the unit of measures used
during the physical count.
c. Verify that the information gathered during the physical

observation regarding the tags, sheets, or cards that were used, General
partially used, unused, and voided is accurately reflected in the
inventory compilation.
If significant, confirm inventories held by others at the physical

3 inventory date and trace confirmed quantities to the inventory General
compilation; consider observing these physical inventories as well.
Review and compare the reconciliation of the valued physical

inventory compilation with the general ledger account balances and
4 General
the perpetual inventory records. Investigate large and unusual
reconciling items.
5 General
If inventories are taken at an interim date, review the "roll-forward"
documentation in a manner responsive to the combined risk
assessment and investigate unusual items.
5 General
6 General
Trace the cut-off information obtained during the physical
observation to the accounting records of sales and purchases.
7 General
Test the valuation of inventory to ensure that it is performed in
accordance with the client’s accounting policy or applicable financial
reporting framework.
8 Test the allowances to reduce the valuation of inventory to net General

realizable value, for example, reserves for slow moving items,
obsolescence, or lower of cost or market.
Prepaid expenses, Deferred Charges, and Other Assets:
Verify existence and carrying amounts through examination of

1 supporting documents or confirmation or a combination of those General
procedures.
2 Roll forward of prepaids. General
Investments, Including Investments in Affiliates:

1 General
Verify the existence and ownership of recorded investments,

including those in affiliates, through confirmation or examination of
evidence of ownership. Investigate unusual items.
2 General
Review minutes (shareholders, board, executive committee, and so

on), agreements, and confirmation replies for evidence of existence,
liens, pledges, or other security interests in investments, and of
commitments to acquire or dispose of investments.
3 General
Inspect market quotations, financial statements of investees, and

other evidence of current value, cost, or equity amount of
investments and test that investments are carried in accordance with
the client’s accounting policies or applicable financial reporting
framework, including foreign currency translations.
Impairment Testing:
Use information obtained during the audit in determining whether

1 management has identified appropriate indicators of impairment General
and determine that the valuation adjustments are appropriate.
Intercompany:
1 General
Review the general ledger at year-end to ensure that intercompany
accounts net properly.
2 General
Obtain a complete list of affiliated companies and obtain
confirmation of receivables from and payables to affiliates, or agree
the account balances with those in the affiliates' records.
3 General
Test the carrying amounts of intercompany accounts, including those
in foreign currencies.
4 General
Test cutoff by inspecting sales register, billings, shipping documents,

and other supporting documents before and after the year-end date.
5 General
Evaluate the adequacy of the allowance for doubtful intercompany
receivables, considering the aging and findings from audit
procedures performed in the area of investments.
Long-Term Receivables, Non-Current Deposits, and Other Long-Term Financial Assets:
Verify the existence and ownership of long-term receivables through

1 General
confirmation or examination of supporting documentation.
2 Test the carrying amounts of long-term financial assets. General
Property, Plant, and Equipment and Related Income Statement Accounts:
Obtain a schedule of property, plant, and equipment, including

1 capitalized leases, and related additions, disposals, reclassifications, General
and depreciation, depletion, or amortization (PPE sub-ledger) and
agree balances to the respective general ledger accounts.
For significant additions and disposals during the year, examine

2 invoices, capital expenditure authorizations, leases, and other data General
that support these additions and disposals.
Review and examine support for rentals under operating leases and
for significant charges to repairs, maintenance, and other expense
3 General
accounts to determine if they should be capitalized as property,
plant, and equipment.
Review reasonableness of depreciation, depletion, and amortization
4 charges by reference to the client's accounting policy and applicable General
financial reporting framework and expectation for current year.

5 General
management has identified appropriate indicators of impairment.
Intangibles, Including Goodwill:
1 General
Obtain a schedule of intangibles, including goodwill, and examine the
bases on which additions, amortization, and disposals are recorded.
Examine invoices, authorizations, contracts, agreements, and other
data that support ownership of intangibles or deferred charges
capitalized and disposed of during the year.
2 General
Determine whether writeoffs are required to reflect permanent

impairments of the carrying amounts of intangible assets or deferred
charges.
Notes Payable:
1 General
Confirm notes payable regarding amounts owed, terms, collateral,

and restrictions and the debtor's compliance with the loan
provisions. If not identified through confirmation with creditors,
identify liens, security interests, and assets pledged as loan collateral
by confirmation with the appropriate public filing offices or by
inspection of public records.
2 General
Inspect documentation of loan agreements or other short-term
lending arrangements (for example, factoring) to determine the
terms, restrictions, revolving lines of credit, and other pertinent
provisions of notes payable.
Test calculations and other evidence relating to compliance with the

3 General
terms, restrictions, or other provisions of loan agreements.
Review refinancing agreements and notes payable transactions

4 subsequent to the balance sheet date to determine their effects on General
balance sheet classification or on disclosure.
Determine the exchange rate at the balance sheet date and

5 General
recalculate using that rate.
Accounts Payable:
Agree the accounts payable sub-ledger to the general ledger control

1 General
account and investigate large and unusual reconciling items.
Inquire about or perform a review of accounts payable sub-ledger for
unusual items, for example, significant debit balances in the accounts
2 General
payable sub-ledger or other unexpected amounts to verify proper
classification and valuation.
Perform cut-off tests for goods and services received as well as for
3 supplier credit memos to ensure that transactions are completely General
recorded in the correct period.
Perform a search for unrecorded liabilities at the year-end date by

4 selecting subsequent disbursements and unmatched invoices and General
receiving reports.
5 Test appropriate valuation of accounts payable in foreign currencies. General
Income Taxes:
Test the reconciliation of the current-year book/local GAAP/statutory

and taxable income, validate the split between permanent and
1 General
timing differences, and compare reconciling items with those in prior
years and examine support.
Test computations of provisions for current and deferred income

2 taxes for the current year and reconcile to appropriate balance sheet General
and income statement accounts.
3 Investigate potential impairments of deferred tax assets. General

Review the movement of income tax account balances from prior
4 year (including those currently payable or deferred) and valuation General
allowances for deferred tax assets.
Determine whether provision should be made for any tax positions

taken by the client or other tax contingencies, for example, as a
5 General
result of related party transactions, that may be challenged by tax
authorities.
Test that intercompany and other related party transactions have a

6 valid business reason and are recorded on an arm's length basis. If in General
doubt, consider the involvement of appropriate specialists.
Provisions, Accrued and Other Liabilities, Deferred Income:
Examine the schedule of provisions, accrued liabilities, and deferred

1 income for correctness and completeness, agree amounts to the General
general ledger accounts and ensure proper cutoff.
Examine the composition and computation of pension and other

2 employee-related long-term reserves for reasonableness and General
consider the use of specialists.
Review other liabilities to determine they are appropriate. Determine

that the amounts appear to be reasonable in comparison with prior
3 General
years and under consideration of your understanding of the clients
business and changes to it.
Read legal confirms, board, and audit committee minutes to ensure

4 General
that appropriate reserves and accruals have been recorded.
Debt:
1 General
Obtain and review a summary of long-term debt and interest for

reasonableness of calculations of interest expense and accrued
interest, including foreign currency translations, and agree schedules
to general ledger. Test compliance with the terms, maturities,
restrictive covenants, or other provisions of debt agreements. In the
case of noncompliance, review any waivers obtained and ascertain
that debt is properly classified.
For new agreements in the year under audit, inspect original or

authenticated copies of debt agreements or other related
2 General
documents to test the terms, restrictive covenants, and other
pertinent provisions of long-term debt.
Read confirmations received from banks or other debt holders to

identify liens, security interests, and assets pledged as collateral for
3 debt or, if necessary, confirm these items with the appropriate public General
filing offices or by inspection of the public records. Determine
whether the financial statements include the required disclosures.
For long-term debt, confirm amounts owed and in sinking funds,

4 terms, collateral, restrictions, and the client's compliance with the General
provisions of the agreements.
Obtain summary of lease and rent contracts and determine whether
5 they have been correctly categorized, based on lease terms, (for General
example, operating or finance lease) in the financial statements.
Determine whether the effects of refinancing agreements and long-

6 term debt transactions subsequent to the balance sheet date are General
appropriately reflected (for example, classification or disclosure)
Equity:
Obtain an equity reconciliation schedule, including retained earnings

1 General
Agree the balances per the financial statements to the account
balances per the general ledger. Determine whether changes in
equity, (for example, profit distributions, other equity reductions, or
increases) from the prior year-end to the current-year end are
properly accounted for. Determine compliance with applicable laws
and regulations, including taxation issues.
Review the minutes and other supporting documents for the

authorization for and the details of the transactions that affected the
2 General
equity accounts and disclosures during the period, including equity
restrictions.
Read board or authorized committee minutes and inquire of

management regarding any stock option agreements. Determine
3 General
whether options have been appropriately accounted for and
disclosed.
Read board or authorized committee minutes to determine whether

4 all dividend payments are appropriately approved and declared and General
that tax regulations have been followed.
ned to provide illustrative information with respect to the subject matter covered. It does not establish standards or preferred practices. Th
CPA board of directors and does not represent an official opinion or position of the AICPA. It is provided with the understanding that the st
gal advice or other expert assistance is required, the services of a competent professional person should be sought. The staff and publisher
or application of the material contained herein and expressly disclaim all liability for any damages arising out of the use of, reference to, or
d as examples only. They are not endorsed by or affiliated with the AICPA. Also note that the auditing standard linked to each
ocedure" is not limited to the standard noted, and additional standards may need to be considered in order to comply with requirements.
ystem-generated reports and data, you will need to establish a basis for what ITGCs will be reviewed and how they will be tested.
e data provided by the entity in order to rely upon it for audit procedures. This goes beyond the scope of this current document.
ncluded to offer additional guidance. The "Traditional Audit Procedure" is not limited to the standard noted.
t endorsed by or affiliated with the AICPA.
rs may reach different conclusions about the relevant assertions tested based upon the procedures performed.
****
Audit Assertion or Type of Procedure Phase of Audit
Objective of the Procedure
Risk Assessment Risk Assessment Planning
Planning and
Risk Assessment Risk Assessment Year-End Procedures

Risk Assessment & Planning

Multiple Assertions
Multiple Assertions
Completeness, Accuracy,
Existence, Valuation Substantive Interim & Year-End
& Occurrence
Completeness & Accuracy Substantive Interim & Year-End
Completeness Substantive Interim & Year-End

Completeness, Accuracy Substantive Interim & Year-End

Existence
Completeness, Accuracy Substantive Interim & Year-End
Existence
Existence
Completeness
Accuracy Substantive Interim & Year-End
Valuation
Rights & Obligations
Presentation & Disclosure
Existence
Completeness
Accuracy Substantive Year-End
Valuation

Accuracy
Valuation Substantive Interim & Year-End
Existence
Valuation
Existence
Valuation
Existence
Presentation and Disclosure
Existence
Completeness & Accuracy Roll forward Year-End
Valuation
Existence
Completeness & Accuracy Roll forward Year-End
Valuation

Valuation
Completeness & Accuracy

Presentation & Disclosure Substantive Interim & Year-End
Valuation

Existence
Rights & Obligations Substantive Interim & Year-End
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness

Completeness
Existence
Rights & Obligations Roll forward Year-End
Completeness
Existence
Rights & Obligations Roll forward Year-End
Completeness

Completeness
Existence
Completeness
Existence
Completeness

Existence
Valuation

Substantive Year-End
Existence Substantive Interim & Year-End


Existence
Valuation
Completeness & Accuracy Substantive Year-End

Valuation


Valuation

Valuation
Valuation

Valuation

Valuation

Valuation
Valuation
Completeness & Existence Substantive Interim & Year-End





Rights & Obligations Substantive Year-End
Valuation




t establish standards or preferred practices. The material was prepared by
is provided with the understanding that the staff
rson should be sought. The staff and publisher make no
mages arising out of the use of, reference to, or reliance
auditing standard linked to each
dered in order to comply with requirements.
viewed and how they will be tested.

he scope of this current document.
standard noted.
edures performed.
** **
AICPA Statements on PCAOB Standards
Auditing Standards
AS 2101Audit Planning
Par. .12 of AU-C sec. 315,Understanding the Entity and Its Environmentand Assessing the Risks of MaterialMisstatement
AS 2110Identifying and Assessing Risks of Material Misstatement
Par. .13 of AU-C sec. 315, Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement
Par. .08d AU-C sec. 300, Planning an Audit AS 2101Audit Planning
Par. .A27 of AU-C sec. 240,Consideration of AS

Fraud
2401Consideration
in a Financial Statement
of Fraud Audit
in a Financial Statement Audit
Par. .07 of AU-C sec. 315, Understanding theASEntity

2110Identifying
and Its Environment
and Assessing
and Assessing
Risks of Material
the RisksMisstatement
of Material Misstatement
Par. .06b AU-C sec. 315,Understanding the AS

Entity
2110Identifying
and Its Environmentand
and Assessing
Assessing
Risks ofthe
Material
Risks of
Misstatement
MaterialMisstatement
Par. .06 of AU-C sec. 315,Understanding the Entity and

ASIts
2101Audit
Environmentand
PlanningAssessing the Risks of MaterialMisstatement
Par. .A2 of AU-C sec. 520,Analytical Procedures
The cell was intentionally left blank
Par. .15 of AU-C sec. 315,Understanding the Entity and Its Environmentand Assessing the Risks of MaterialMisstatement
AS 2401Consideration of Fraud in a Financial Statement Audit
Par. .06a of AU-C sec. 315,Understanding the Entity and Its Environmentand Assessing the Risks of MaterialMisstatement
Par. .19f of AU-C sec. 315,Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement (Con
Par. .21 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidence Obtained

Par. .A47 of AU-C sec. 240, Consideration of Fraud in a Financial Statement Audit (Journal entries at period end)
Only relevant to integrated audits: Par. .24–.25 of AU-C sec. 940, An Audit of Internal Control Over Financial Reporting That Is In
Par. .21 of AU-C sec. 330, Performing Audit AS

Procedures
2401Consideration
in Response
ofto
Fraud
Assessed
in a Financial
Risks andStatement
EvaluatingAudit
the Audit Evidence Obtain
Appendixes B and C in AU-C sec. 240,Consideration of Fraud in a Financial Statement Audit

Scanning: Par. .A22 in AU-C sec. 500, Audit Evidence
Par. .A14 of AU-C sec. 500, Audit Evidence








This cell was intentionally left blank AS 2401Consideration of Fraud in a Financial Statement Audit
Par. .A17 of AU-C sec. 500, Audit Evidence AS 2401Consideration of Fraud in a Financial Statement Audit
AU-C section 505,External Confirmations
AS 2310The Confirmation Process
Par. .19 and .A51 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risk and Evaluating the AuditEvidenc
Par. .21 AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtained
This cell was intentionally left blank
Par. A7 and .A22 in AU-C sec. 500, Audit Evidence
AU-C section 330, Performing Audit Procedures

This
in Response
cell was intentionally
to Assessed left
Risksblank
and Evaluating the Audit Evidence Obtained
AU-C sec. 330, Performing Audit Procedures inThis

Response
cell was
tointentionally
Assessed Risks
leftand
blank
Evaluating the Audit Evidence Obtained
AU-C sec. 505,External Confirmations
AS 2503Auditing Derivative Instruments, Hedging Activities, and Investments in Sec
Par. .19 and .A51 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Eviden
AU-C sec. 505,External Confirmations AS 2503Auditing Derivative Instruments, Hedging Activities, and Investments in Sec
Par. .A13 of AU-C sec. 501, Audit Evidence—Specific
AS 2503Auditing
Considerations
Derivative
for Instruments,
Selected Items
Hedging Activities, and Investments in Sec
Par. .02a Preface: Principles Underlying

an Audit Conducted in Accordance AS 2503Auditing Derivative Instruments, Hedging Activities, and Investments in Sec
With Generally Accepted Auditing
Standards
Par. .20 and .A51 AU-C sec. 330, Performing Audit

ThisProcedures
in Responseleft
toblank
Assessed Risks and Evaluating the Audit Evidence
Par. .A24–.A27 of AU-C sec. 505,External Confirmations
Par. .20 and .A51 of AU-C sec. 330, Performing Audit Procedures
AS 2310The in Response
Confirmation to Assessed Risks and Evaluating the Audit Eviden
Process
Par. .07 of AU-C sec. 530,Audit Sampling
Par. .12, .23, .A51, and .A60 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidenc
AS 2301 The Auditor's Responses to the Risks of Material Misstatement

Par. .A24 of AU-C sec. 505,External Confirmations
AU-C section 520,Analytical Procedures
AS 2305Substantive Analytical Procedures
Par. .A58 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obta
Par. .A6 of AU-C sec. 540,Auditing AccountingAS

Estimates,Including
2501Auditing Accounting
Fair Value
Estimates
Accounting Estimates, and Related Disclosures

Estimates,Including
Fair Value
Estimates

This
in Response
to Assessed left
Risksblank
This
in Response
to Assessed left
Risksblank
This cell was intentionally left blank This cell was intentionally left blank
Par. .11a of AU-C sec. 501,Audit Evidence—SpecificASConsiderations

2510Auditing for
Inventories
Selected Items

2510Auditing for
Inventories
Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence— SpecificAS

Considerations
2510Auditingfor
Inventories
Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence—Specific AS

Considerations
2510Auditingfor
Inventories
Selected Items

2510Auditing for
Inventories
Selected Items
Par. .A26 of AU-C sec. 501,Audit Evidence—SpecificASConsiderations

2510Auditing Inventories
for Selected Items
for Selected Items

for Selected Items
Par. .11–.15 of AU-C sec. 501,Audit Evidence—Specific

AS 2510Auditing
Considerations
Inventories
for Selected Items
Par. .11–.15 of AU-C sec. 501,Audit Evidence—Specific

AS 2510Auditing
Considerations
Inventories
for Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence—Specific Considerations for Selected Items
AS 2510Auditing Inventories
Par. .19 and .A51 of AU-C sec. 330,Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Eviden
This cell was intentionally left blank AS 2510Auditing Inventories
AS 2510Auditing Inventories
Par. .12, .23, and .A60 of AU-C sec. 501,Audit Evidence—Specific Considerations for Selected Items
Par. .12, .23, and .A60 of AU-C sec. 501,Audit Evidence—Specific Considerations for Selected Items
AS 2301The Auditor's Responses to the Risks of Material Misstatement
4th bullet par. .A23 of AU-C sec. 501,Audit Evidence—Specific

AS 2510Auditing
Considerations
Inventoriesfor Selected Items
Par. .A20 of AU-C sec. 500,Audit Evidence AU Section 331Inventories
This cell was intentionally left blank AU Section 331Inventories

AU-C section 505,External Confirmation
Par. .20 of AU-C sec. 500,Audit Evidence
Par. .12, .23, and .A60 of AU-C sec. 330, Performing

This cell
Audit
wasProcedures
intentionally
in Response
left blankto Assessed Risks and Evaluating the Audit E

AU-C section 501, Audit Evidence—Specific Considerations for Selected Items
AU-C section 505,External Confirmation
AU-C section 505,External Confirmations AS 2310The Confirmation Process
AU-C section 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtained
Par. .A13, .A14, .04, and .05 of AU-C sec. 501, Audit Evidence—Specific Considerations for Selected Items
Par. .09 and .A17–.A18 of AU-C sec. 501, AuditThis

Evidence—Specific
Considerations
left blankfor Selected Items
4th bullet of par. .A69 of AU-C sec. 600, SpecialThis
Considerations—Audits
cell was intentionallyofleft
Group
blank
Financial Statements

Pars. .13–.15 of AU-C sec. 550, Related Parties
AU-C section 600, Special Considerations—Audits

Thisof
cell
Group
was intentionally
left blank
Par. .A14–.A15 of AU-C sec. 500, Audit Evidence

This
in Response
to Assessed left
Risksblank

Par. .19–.20 and .A51 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Ev
This
in Responseto
Assessed Risks
left blank
and Evaluating the AuditEvidence Obtained
Par. .21 of AU-C sec. 330, Performing Audit Procedures

This cell was
in Response
intentionally
to Assessed
left blank
Risks and Evaluating the Audit Evidence Obtain

This
in Response
to Assessed left
Risksblank

This
in Response
to Assessed left
Risksblank
Par. .A7 of AU-C sec. 540, Auditing Accounting Estimates Including Fair Value Accounting Estimates, and Related Disclosures
AU-C section 505, External Confirmations

This cell
in Response
was intentionally
to Assessed
leftRisks
blankand Evaluating the Audit Evidence Obtained

This cell
in Response
was intentionally
to Assessed
leftRisks

This cell
in Response
was intentionally
to Assessed
leftRisks

This
in Response
to Assessed left
Risksblank
This
in Response
to Assessed left
Risksblank

This
in Response
to Assessed left
Risksblank
This cell was

AU-C section 330, Performing Audit Procedures in Responseto intentionally
Assessed left
Risks and blank the AuditEvidence Obtained
Evaluating

This
in Response
to Assessed left
Risksblank
AU-C section 540,Auditing Accounting Estimates,Including

AS 2501Auditing
FairAccounting
Value Accounting
Estimates
Estimates, and Related Disclosures

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates
AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates
Thisincell
Par. .21 of AU-C sec. 330, Performing Audit Procedures was intentionally
Response to Assessed left
Risksblank

This
in Response
to Assessed left
Risksblank

This
in Response
to Assessed left
Risksblank

Par. .21 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtain
Par. .A19 and .A20 of AU-C sec. 500,Audit Evidence
Par. .21 of AU-C sec. 330, Performing Audit This

Procedures
cell wasinintentionally
Response to left
Assessed
blank Risks and Evaluating the Audit Evidence Obtain
Par. .19 and .A51 of AU-C sec. 330, PerformingThis

Audit
cell
Procedures
was intentionally
in Response
left blank
to Assessed Risks and Evaluating the Audit Eviden
This
in Response
to Assessed left
Risksblank
Par. .09–.11 of AU-C section 560,Subsequent Events

This cell
andwas
Subsequently
intentionally
Discovered
left blankFacts

This cell was
in Response
intentionally
to Assessed
left blank
Par. .A8 of AU-C sec. 330, Performing Audit Procedures

This cell was
in Response
intentionally
to Assessed
left blank

This cell was
in Response
intentionally
to Assessed
left blank

This cell was
in Response
intentionally
to Assessed
left blank
Significant Accounts Audit Data Standards
This cell was intentionally left blank Audit Data Standard - General LedgerAudit Data Standard - Base Standard
All Audit Data Standards - General LedgerAudit Data Standards - Base Standard
Various This cell was intentionally left blank

Various Audit Data Standard - General LedgerAudit Data Standard - Base Standard


Cash This cell was intentionally left blank

Cash Audit Data Standard - General LedgerAudit Data Standard - Base Standard
Marketable Securities This cell was intentionally left blank

Accounts Receivable Audit Data Standard - Order to Cash Audit Data Standard - Base Standard
Inventory Audit Data Standard - InventoryAudit Data Standard - Base Standard

Audit Data Standard - Inventory

Inventory
Audit Data Standard - Base Standard
Inventory

Inventory
Prepaid expenses, deferred This cell was intentionally left blank

charges, and other assets

Investments, including This cell was intentionally left blank
investments in affiliates



Long-term receivables, non-current deposits, This cell was intentionally left blank
and other long-term financial assets
Property, plant, and equipment Audit Data Standard - General LedgerAudit Data Standard - Base StandardAud
Intangibles and Goodwill This cell was intentionally left blank
Intangibles and Goodwill This cell was intentionally left blank

Notes Payable This cell was intentionally left blank
Notes Payable Audit Data Standard - General LedgerAudit Data Standard - Base Standard
Accounts Payable Audit Data Standard - Procure to PayAudit Data Standard - Base Standard
Income Taxes This cell was intentionally left blank

Provisions, accrued and other liabilities, This cell was intentionally left blank
deferred income
deferred income
deferred income
deferred income
deferred income
Debt This cell was intentionally left blank

Equity This cell was intentionally left blank

**
Example Audit D
Caseware ACL
This can be easily achieved by creating calculated fields

to show differences and highlight the large
increases/decreases. Importing the trial balances from ACL resources specific to GL and O2C analytics include: Application Sh
previous years can also be used for trend analysis or
reconstructing the trial balances from a transactional
database can serve multiple purposes.
The Trend Analysis task in IDEA fits a straight line, called the
GL trend
Comparison
line, which
by yearCompared
represents theprevious
linear relationship,
totals by GLthat
to current
is applied
yea
The Trend Analysis task in IDEA fits a straight line, called the
GL trend
Comparison
line, which
by yearCompared
represents theprevious
linear relationship,
totals by GLthat
to current
is applied
yea
Summarize by year/account and generate a database ACL Summarization of journal entries by account
would accomplish this.
that will not only contain the count and the sum but also ACL's SUMMARIZE as of v12 now provides
include average, minimum, maximum, standard Average, Median, Mode, Standard Deviation,
deviation. Min, Max, and quartiles
This cell was intentionally left blank GL period close cut-off

Gap detection in JE_Number, Missing day of activity

(workdays). Join (reconciliation with trial balance), data ACL's General Ledger (GL)Analytics
range (earliest/latest date)
Stratify GL Accounts
Stratify a particular GL account to look for journal
entries that are outside of the normal range of
Importing the database from accounting packages/ERP values posted to the account
using connector or export/import using CSV. Conduct
proper reconciliation to ensure data integrity by using
field statistics and summarization and compare with
reports from client.
ACL Inspirations for GL Analysis
SmartAnalyzer test ACL Essentials Module for Journal EntriesAnalytics
SmartAnalyzer test (1) Duplicate JEs: same account, same amountIdentify any duplicate
SmartAnalyzer test ACL's General Ledger (GL)Analytics
SmartAnalyzer test Suspicious weekend or holiday JEAnalyze any and all JE created/poste
Generate reports from items that have been isolated by N/A

the previous tests.
If the authorization information is available electronically,(1)
IDEA
Single
can transaction
easily checkJE
100%
overof
approval
the transactions
limitEnsure
by authorization
joining the Author
and
This task can be easy or very complex depending on the size

(1) of
Segregation
the company
of duties:
or the Parked
ERP systems
vs posted
beingEnsure
used. We
segregation
have, forofexam
duti
SmartAnalyzer test - custom for the GAO (Cdn) This cell was intentionally left blank
SUMMARIZE receivables on related revenue

control account and JOIN with General Ledger.
Easy IDEA routine Filter for differences, and report the largest
differences by amount/percentage
Accounts Receivable Analytics can be used for value added tests
Join database (matching) on invoicenumber. IDEA offers several sampling methods together with the ability to calculate sampl
CMA / MUS Sampling can be used to select the sample for confirmati
Compare 2 files (Interim and Year-End) using accounts as Perform a variance analysis between Interim and
Year End accounts, highlighting items over a
the key field specified threshold requiring further review.
Compare 2 files (Interim and Year-End) using accounts as Perform a variance analysis between Interim and
Year End accounts, highlighting items over a
the key field specified threshold requiring further review.
SmartAnalyzer test Channel Stuffing Analysis
Re-perform aging Accounts Receivable AnalysisSpecifically looking at days billings outst
Extraction to isolate adjustments - manual operations (1) Unauthorized adjustmentsIdentify adjustments posted in A/R by u
Recalculate AR values using exchange rates in

effect (as obtained from Bank of Canada or other
This cell was intentionally left blank applicable central bank on line) and compare to
recorded values in GL. Identify significant
variances for further investigation.
Isolate credit balances and use a criteria to extract large ACL Essentials - Debtors with credit balances
amounts
Compare posting dates vs date entered to identify

SmartAnalyzer test potential cut-off issues
This cell was intentionally left blank ACL Essentials - Inventory Listing extract can be used as a starting po
This cell was intentionally left blank ACL Essentials - Inventory Listing extract can be used as a starting po
IDEA for Sample selection Sample selection

This cell was intentionally left blank ACL Essentials - Journal adjustments to inventory accounts
This cell was intentionally left blank CMA / MUS Sampling can be used to select inventories held by other
SmartAnalyzer test ACL Essentials - Stock & Inventory Management
This cell was intentionally left blank CMA / MUS Sampling can be used to select investments for confirma
This cell was intentionally left blank Use of Text Analytics Toolkit to identify keywords and word trends ov
This cell was intentionally left blank Fixed Asset Analysis

Extraction on sub-accounts. Manual Summarize and compare intercompany accounts
operations to ensure they net to zero
Summarize and compare affiliate company

This cell was intentionally left blank accounts to ensure they agree; highlight
variances for further analysis.
Extraction + Manual operations This cell was intentionally left blank
Join Sales Orders to Shipping Documents to

Field Statistics and Date Stratification to isolate Billings; review the dates of entry/posting for
transactions/entries after year-end date. each for transactions that "bridge" the year-end
date. Extract these and compare against accruals
Re-perform aging Debtors age analysis
This cell was intentionally left blank CMA / MUS Sampling can be used to select receivables for confirmati
Performing an extraction (based on

account numbers). Include manual Combination of use of Fixed Asset Analysis and Textual Analytics
explanation
Stratify Combination of use of Fixed Asset Analysis and Textual Analytics
This cell was intentionally left blank Combination of use of Fixed Asset Analysis and Textual Analytics
SmartAnalyzer Test:• Recalculate Straight Line Depreciation
Expected
creates depreciation
a list of fixedrecalculationRecalculate
assets using the straight-linemethod
expected depreciatio
of depre
This cell was intentionally left blank CMA / MUS Sampling can be used to select notes payable for confirm
Recalculate financial statement balances using

exchange rates in effect (as obtained from Bank
of Canada or other applicable central bank on
This cell was intentionally left blank line) and compare to recorded values in GL.
Identify significant variances for further
investigation.
Compare AP subledger to the GL and identify

SmartAnalyzer test significant differences for investigation.
SmartAnalyzer test Inspirations - P2P
SmartAnalyzer test This cell was intentionally left blank
Join the two databases (current and subsequent) and ACL Essentials - Three way match
select the option Records with no primary match
Recalculate AP values using exchange rates in

effect (as obtained from applicable central bank
Creation of calculated and summarization on line) and compare to recorded values in GL.
investigation.
Compare YoY by joining other liabilities account

This cell was intentionally left blank against the previous year. Identify and report
significant changes, additions, and subtractions.
This cell was intentionally left blank Use of Text Analytics Toolkit to identify keywords and word trends ov
***
Example Audit Data Analytics
Oversight Dronescan
Oversight offers Oversight Insights on Demand,
a web-based solution enabling line
of business administrators to automatically This cell was intentionally left blank
audit 100% of expenses to detect and eliminate
fraud, errors, misuse, and waste within their
spend programs.
This cell was intentionally left blank Dronescan for physical inventory counts

spend programs.

spend programs.
Confirmations.com




Confirmation.com is an audit confirmation

solution that offers a secure online platform
for auditors and accounting firms to
effectively perform audit confirmations (for
example, accounts receivable, accounts
payable, bank, and so on) in both online and
paper formats securely to third-party
responders.

responders.

responders.

responders.







responders.


responders.




responders.

Guide to Audit Data Analytics Examples
This columns offers sample step-by-step examples that can be found in the AICPA's Guide to Audit Data Analytics.
The examples illustrate ways that ADAs can be used throughout the financial statement audit.
Appendix A of the Guide to Audit Data Analytics provides examples of using ADAs in performing risk assessment procedures.
- Example 2-1 – Non-statistical Trend Analysis of Sales Revenue

- Example 2-2 – GL Account Balance Analysis
- Example 2-3 – Analysis of Customer Accounts Receivable Churn
- Example 2-4 – Quantity and Pricing Analysis of Sales Revenue
- Example 2-5 – Process Mining from Sales Order to Sales Invoice



Appendix B and C of the Guide to Audit Data Analytics provide examples of using ADAs in performing substantive analytical
procedures and tests of details.
Examples included within Appendix B "Examples of ADAs Used in Performing Substantive Analytical Procedures":
- Example 3-1 – Non-Statistical Predictive Model for Rental Revenue

- Example 3-2 – Regression Analysis of Revenue from Sales of Steam

Examples included within Appendix C "Examples of ADAs Used in Performing Tests of Details":
- Example 4-1 – Cash Receipt to Sales Invoice Matching Procedure

- Example 4-2 – 3-Way Match of Sales Invoices, Shipping Documents, and a Master Price List

































Visualization & Dashboard Ideas
This Audit Data Analytics to Audit Procedures - Mapping document (mapping document) is designed to provide illustrative info
* Please note that this document is not intended to be all-encompassing. If you rely on system-generated reports and d
You may also need to perform procedures to test the completeness and accuracy of the data provided by the entity in
** Please note that the auditing standard linked to each "Traditional Audit Procedure" is included to offer additional guida
*** Please note that the audit data analytics are referenced as examples only. They are not endorsed by or affiliated with t
**** The assertions tested are a function of the actual audit procedures performed. Auditors may reach different conclusio
Visualization and Dashboa

Traditional Procedure Work Stream
Create an Excel lead sheet for each audit area and
1 agree balances to the trial balance Financial Statements
Scan trial balance and financial statements for

2 abnormal balances Financial Statements
Determine whether beginning retained earnings agrees

3 to prior year retained earnings after closing out Financial Statements
Sum and agree account totals per the general ledger

detail to the trial balance and financial statements, and
4 subledger detail to the general ledger detail. General Ledger and Trial Balance
to provide illustrative information with respect to the subject matter covered. It does not establish standards or preferred practices. The m
board of directors and does not represent an official opinion or position of the AICPA. It is provided with the understanding that the staff
dvice or other expert assistance is required, the services of a competent professional person should be sought. The staff and publisher mak
pplication of the material contained herein and expressly disclaim all liability for any damages arising out of the use of, reference to, or relia
examples only. They are not endorsed by or affiliated with the AICPA. Also note that the auditing standard linked to each
ure" is not limited to the standard noted, and additional standards may need to be considered in order to comply with requirements.
m-generated reports and data you will need to establish a basis for what ITGCs will be reviewed and how they will be tested.
provided by the entity in order to rely upon it for audit procedures. This goes beyond the scope of this current document.
ed to offer additional guidance. The "Traditional Audit Procedure" is not limited to the standard noted.
rsed by or affiliated with the AICPA.
y reach different conclusions about the relevant assertions tested based upon the procedures performed.
and Dashboard Options for Risk Assessment Procedures
Visualization Option
Financial Statement Quantitative Drilldown
Chart of Accounts Analysis
Beginning Balance Validation
Trial Balance to GL Detail Activity Validation

the subject matter covered. It does not establish standards or preferred practices. The material was prepared by
al opinion or position of the AICPA. It is provided with the understanding that the staff
rvices of a competent professional person should be sought. The staff and publisher make no
ressly disclaim all liability for any damages arising out of the use of, reference to, or reliance
ed with the AICPA. Also note that the auditing standard linked to each
tional standards may need to be considered in order to comply with requirements.
blish a basis for what ITGCs will be reviewed and how they will be tested.
audit procedures. This goes beyond the scope of this current document.
udit Procedure" is not limited to the standard noted.
sertions tested based upon the procedures performed.
for Risk Assessment Procedures
Description
This tool allows the user to visually drill down financial statement balances to the general ledger (GL) level detail. It also allows
This allows users to determine whether balances meet normal expectations (that is, assets have debit balances, liabilities have
Using Python Pandas to validate that prior year ending balances roll forward correctly to the current year beginning balances.
Using Python Pandas to validate that trial balance activity (ending trial balance minus beginning trial balance) equals GL activit
Divider
The proceeding tabs (4 through 23) break out the full library of audit procedures by audit phase and account. Please note that
tabs include the same procedures that are also included within the "Library by Audit Phase" tab.
The remaining tabs are organized as follows:
Title Overview
This spreadsheet focuses on the risk assessment ar

audit and includes some example audit procedures
be performed to gain an understanding of the entit
Tab #5 Risk Assessment audit.
This spreadsheet includes general audit procedures

Tab #6 Journal Entry Procedures be performed over manual and automated journal

Tab #7 Cash be performed to test cash accounts.

Tab #8 Marketable Securities be performed to test marketable securities.

Tab #9 Accounts Receivable be performed to test accounts receivable.

Tab #10 Inventory be performed to test inventory accounts.

Tab #11 Prepaid Expenses & Other Assets be performed to test prepaid expenses and other a

Tab #12 Investments be performed to test investments.
This spreadsheet includes a general audit procedur
could be performed to test impairment and valuati
Tab #13 Impairment adjustments.

Tab #14 Intercompany be performed to test intercompany balances.
This spreadsheet includes general audit procedure

to the testing of long-term receivables, non-curren
Tab #15 Long-Term Financial Assets and other long-term financial assets.

Tab #16 Property, Plant, and Equipment (PPE) the testing of PPE.

be performed over intangible assets (including goo
Tab #17 Intangibles well as write-offs.

Tab #18 Notes Payable be performed to test notes payable accounts.

Tab #19 Accounts Payable be performed to test accounts payable.

Tab #20 Income Taxes be performed to test company income taxes.

Tab #21 Other Liabilities be performed to test other liabilities.

Tab #22 Debt be performed to test debt accounts.

Tab #23 Equity be performed to test equity accounts.
e and account. Please note that these
Overview
cuses on the risk assessment area of the

ome example audit procedures that can
in an understanding of the entity under
cludes general audit procedures that could

manual and automated journal entries.

t cash accounts.

t marketable securities.

t accounts receivable.

t inventory accounts.

t prepaid expenses and other assets.

t investments.
cludes a general audit procedure that
to test impairment and valuation

t intercompany balances.
cludes general audit procedures related

g-term receivables, non-current deposits,
m financial assets.
cludes general audit procedures related to

ntangible assets (including goodwill) as

t notes payable accounts.

t accounts payable.

t company income taxes.

t other liabilities.

t debt accounts.

t equity accounts.
General Audit Procedures - RISK ASSESSMENT
"Traditional Audit Procedure" is included to offer additional guidance. The "Traditional Audit Procedure" is not limited to the st
* Please note that this document is not intended to be all-encompassing. If you rely on system-generated reports and data yo
You may also need to perform procedures to test the completeness and accuracy of the data provided by the entity in order
** Please note that the auditing standard linked to each "Traditional Audit Procedure" is included to offer additional guidance.
***Please note that the audit data analytics are referenced as examples only. They are not endorsed by or affiliated with the AIC
****The assertions tested are a function of the actual audit procedures performed. Auditors may reach different conclusions abo
* Industry
1 Obtain an understanding of the entity General

1 Obtain an understanding of the entity General
2 Obtaining an understanding of internal control over financial General

reporting
Considering information from the client acceptance and retention

3 evaluation, audit planning activities, past audits, and other General
engagements performed for the entity
4 Performing analytical procedures General
and compare.
and compare.
b. For each account, calculate the mean, median, mode, and

standard deviation in order to determine where current accounts fall. General
Review the trends.
5 Conducting a discussion among engagement team members General

regarding the risks of material misstatement
6 Inquiring of management and others General

within the company about the risks of material misstatement
is designed to provide illustrative information with respect to the subject matter covered. It does not establish standards or preferred prac
r the AICPA board of directors and does not represent an official opinion or position of the AICPA. It is provided with the understanding tha
e. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. The staff and pu
ontent or application of the material contained herein and expressly disclaim all liability for any damages arising out of the use of, reference
erenced as examples only. They are not endorsed by or affiliated with the AICPA. Also note that the auditing standard linked to each
udit Procedure" is not limited to the standard noted, and additional standards may need to be considered in order to comply with requirem
ystem-generated reports and data you will need to establish a basis for what ITGCs will be reviewed and how they will be tested.
endorsed by or affiliated with the AICPA.
****

Planning and
Risk Assessment Risk Assessment Year-End Procedures


does not establish standards or preferred practices. The material was prepared by
CPA. It is provided with the understanding that the staff
onal person should be sought. The staff and publisher make no
ny damages arising out of the use of, reference to, or reliance
hat the auditing standard linked to each
e considered in order to comply with requirements.

standard noted.
edures performed.
**
**
Auditing Standards
AS 2101
Audit Planning
Par. .12 of AU-C sec. 315,
Understanding the Entity and Its
Environment
and Assessing the Risks of Material
Misstatement
Environment
Misstatement AS 2110
Identifying and Assessing Risks of
Material Misstatement
AS 2101
Audit Planning
Environment and Assessing the Risks of
Material Misstatement AS 2110
Par. .08d of AU-C sec. 300, Planning an AS 2101

Audit Audit Planning
Par. .A27 of AU-C sec. 240, AS 2401

Consideration of Fraud in a Consideration of Fraud in a Financial
Financial Statement Audit Statement Audit
Par. .07 of AU-C sec. 315, AS 2110

Understanding the Entity and Its Identifying and Assessing Risks of
Environment and Assessing the Risks of Material Misstatement
Par. .06b of AU-C sec. 315,

Environment AS 2110
and Assessing the Risks of Material Identifying and Assessing Risks of
Misstatement Material Misstatement

Understanding the Entity and Its AS 2101
Environment Audit Planning
Misstatement
AS 2110
Paragraph .A2 of AU-C sec. 520, Identifying and Assessing Risks of
Analytical Procedures Material Misstatement
AS 2101
Audit Planning

AS 2110
AS 2110
Par. .15 of AU-C sec. 315, Identifying and Assessing Risks of
Understanding the Entity and Its Material Misstatement
Environment
Misstatement AS 2401
Consideration of Fraud in a Financial
Statement Audit
AS 2110
Par. .06a of AU-C sec. 315, Identifying and Assessing Risks of
Understanding the Entity and Its Material Misstatement
Environment
Misstatement
AS 2401
Consideration of Fraud in a Financial
Statement Audit
Audit Data Standard - General Ledger

This cell was intentionally left blank Audit Data Standard - Base Standard

Audit Data Standards - General Ledger

All Audit Data Standards - Base Standard


Various Audit Data Standard - Base Standard
***
Example Audit Data
Caseware ACL
This can be easily achieved by creating calculated

fields to show differences and highlighting the large ACL resources specific to GL and O2C analytics
increases/decreases. Importing the trial balances include: Application Sheets, Scripthub, and
from previous years can also be used for trend Inspirations.
analysis or reconstructing the trial balances from
transactional database that can serve multiple
purposes.
The Trend Analysis task in IDEA fits a straight line,

called the trend line, representing the linear
relationship, that is applied to the actual data in order
to predict future values in the Trend Analysis task. The
trend line represents the fitted data to the actual data GL Comparison by year
using linear regression and the method of least Compared previous totals by GL to current year
squares and then reports the slope of the line. A totals by GL
measure called Mean Absolute Percentage Error
measures the reliability of the forecast data.
The Trend Analysis task in IDEA fits a straight line,
called the trend line, representing the linear
relationship, that is applied to the actual data in order
to predict future values in the Trend Analysis task. The
trend line represents the fitted data to the actual data GL Comparison by year
using linear regression and the method of least Compared previous totals by GL to current year
squares and then reports the slope of the line. A totals by GL
measure called Mean Absolute Percentage Error
measures the reliability of the forecast data.
Summarize by year/account and generate a database ACL summarization of journal entries by account
would accomplish this.
that will not only contain the count and the sum but ACL's SUMMARIZE as of v12 now provides
also include average, minimum, maximum, standard Average, Median, Mode, Standard Deviation,
deviation. Min, Max, and Quartiles
***
Oversight Dronescan

spend programs.
of business administrators to automatically
audit 100% of expenses to detect and eliminate This cell was intentionally left blank
spend programs.
Confirmations.com



This columns offers step-by-step examples that can be found in the AICPA's "Guide to Audit Data Analytics."
The examples illustrate ways that ADAs can be used throughout the financial statement audit.
Appendix A of the Guide to Audit Data Analytics provides examples of using ADAs in performing risk assessment procedures.
- Example 2-1 – Non-statistical Trend Analysis of Sales Revenue

- Example 2-2 – GL Account Balance Analysis
- Example 2-3 – Analysis of Customer Accounts Receivable Churn
- Example 2-4 – Quantity and Pricing Analysis of Sales Revenue
General Audit Procedures - JOURNAL ENTRIES
* Industry
Journal Entry Procedures

1 Obtain understanding of the period end financial reporting process, General
including types and sources of journal entries
Obtain and review a listing of journal entries, made during the

2 period, and perform audit procedures to determine the General
completeness of the population
3 Identify population of journal entries to be selected for testing General
a. Examine population for missing or incomplete journal entries

General
b. Examine possible duplicate account entries General
c. Examine round-dollar entries General
d. Examine post-date entries General
e. Examine entries posted on weekends General
4 For all journal entry selections made, perform the following

procedures:
a. Obtain and review supporting documentation for each journal General

entry selected.
b. Review each entry for proper authorization General
c. Observe proper segregation of duties General

****
Multiple Assertions
Completeness, Accuracy,
Existence, Valuation, Substantive Interim & Year end
& Occurrence
Completeness & Accuracy Substantive Interim & Year end
Completeness Substantive Interim & Year end

Completeness, Accuracy Substantive Interim & Year end

Existence
Completeness, Accuracy Substantive Interim & Year end
Existence


standard noted.
edures performed.
** **
Auditing Standards
Par. .19f of AU-C sec. 315,Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement (Con
Par. .21 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidence Obtaine
Par. .A47 of AU-C sec. 240, Consideration of Fraud in a Financial Statement Audit(Journal entries at period end)
Only relevant to integrated audits: Par. .24–.25 of AU-C sec. 940, An Audit of Internal Control Over Financial Reporting That Is In

AS 2401Consideration
in Response to Assessed
of Fraud
Risks
in aand
Financial
Evaluating
Statement
the AuditEvidence
Audit Obtain



Appendixes B and C in AU-C sec . 240,Consideration of Fraud in a Financial Statement Audit




This cell was intentionally left blank AS 2401Consideration of Fraud in a Financial Statement Audit
Par. .A17 of AU-C sec. 500, Audit Evidence AS 2401Consideration of Fraud in a Financial Statement Audit


***
Example Audit Data
Caseware ACL
Gap detection in JE_Number, Missing day of activity

(workdays). Join (reconciliation with trial balance), ACL's General Ledger (GL)Analytics
data range (earliest/latest date)
Stratify GL Accounts
Stratify a particular GL account to look for journal
entries that are outside of the normal range of
Importing the database from Accounting values posted to the account
packages/ERP using connector or export/import using
CSV. Conduct proper reconciliation to ensure data
integrity by using Field Statistics and Summarization
and compare with reports from client.
ACL Inspirations for GL Analysis
SmartAnalyzer test ACL Essentials Module for Journal EntriesAnalytics

SmartAnalyzer test (1) Duplicate JEs: same account, same amountIdentify any duplicate jou
SmartAnalyzer test Suspicious weekend or holiday JEAnalyze any and all JE created/posted
Generate reports from items that have been isolated N/A

by the previous tests.
If the authorization information is available electronically,
(1) IDEA
Singlecan
transaction
easily check
JE over
100%approval
of the transactions
limitEnsure authorization
by joining the and
Author
val
This task can be easy or very complex depending on the(1)size

Segregation
of the company
of duties:
or the
Parked
ERP vs
systems
postedbeing
Ensure
used.
segregation
We have, of
forduties
exam
***
Oversight Dronescan
Confirmations.com






General Audit Procedures by Account - CASH
*
Industry
Cash:
1 General
Obtain a complete list of bank accounts (debit and credit balances)
as well as related loan and similar contracts. Obtain and send bank
confirmations for all accounts, including accounts closed during the
year, requesting information about account balances, contingencies,
liens, pledges, restrictions on the client’s assets, guaranteed
amounts, and so on. If there is a valid reason for not confirming all
accounts, document the rationale in the working papers.
2 General
Examine bank reconciliations as of year-end, including cash-in-transit
accounts, to verify the proper reconciliation of bank statements and
general ledger accounts. When appropriate (for example, to
determine whether receipts or disbursements are recorded on a
timely basis or to verify the appropriateness of reconciling items),
obtain cut-off bank statements.
3 General
Test cutoff of cash receipts and cash disbursements for transfers
between different bank accounts at the balance sheet date.
4 General
Test appropriate valuation of cash and cash equivalents (including
overdrafts) in foreign currencies.
****
Existence
Completeness
Accuracy Substantive Interim & Year end
Valuation
Existence
Completeness
Accuracy Substantive Year end
Valuation

Accuracy
Valuation Substantive Interim & Year end


the scope of this current document.
standard noted.
edures performed.
** **
Auditing Standards
AU-C section 505,
External Confirmations
AS 2310
Par. .19 and .A51 of AU-C sec. 330, The Confirmation Process
Performing Audit Procedures in
Response to Assessed Risks and
Evaluating the Audit
Evidence Obtained
Par. .21 of AU-C sec. 330, Performing

Audit Procedures in Response
to Assessed Risks and Evaluating the
Audit
Evidence Obtained

Par. .A7 and .A22 of AU-C sec. 500,
Audit Evidence
AU-C section 330, Performing

to Assessed Risks and Evaluating the This cell was intentionally left blank
Audit
Evidence Obtained
AU-C section 330, Performing
to Assessed Risks and Evaluating the This cell was intentionally left blank
Audit
Evidence Obtained

Cash Audit Data Standard - Base Standard

Example Aud
Caseware ACL
SmartAnalyzer test - custom for the This cell was intentionally left blank
GAO (Cdn)
***
Oversight Dronescan
Confirmations.com
Confirmation.com is an audit confirmation solution that
offers a secure online platform for auditors and
accounting firms to effectively perform audit
confirmations (for example, accounts receivable,
accounts payable, bank, and so on) in both online and
paper formats securely to third-party responders.

Appendix B and C of the Guide to Audit Data Analytics provide
examples of using ADAs in performing substantive analytical
Examples included within Appendix B "Examples of ADAs Used in

Performing Substantive Analytical Procedures":
- Example 3-1 – Non-Statistical Predictive Model for Rental
Revenue
- Example 3-2 – Regression Analysis of Revenue from Sales of
Steam
Examples included within Appendix C "Examples of ADAs Used in

Performing Tests of Details":

- Example 4-2 – 3-Way Match of Sales Invoices, Shipping
Documents, and a Master Price List
General Audit Procedures by Account - MARKETABLE SECURITIES
* Industry
Marketable Securities:
1 General

1 General

confirmation or examination of evidence of ownership (for example,
stock certificates, bank statements, broker statements).
2 General
Review confirmation replies for evidence of the existence of

marketable securities, and of liens, pledges, or other security
interests in marketable securities.
3 General
Inspect market quotations or other evidence of current value of
marketable securities, including those in foreign currencies.
4 General
Test that marketable securities are carried in accordance with the
client's accounting policies or applicable financial reporting
framework.
SECURITIES
****
Existence
Valuation
Existence
Valuation
Existence
Valuation


standard noted.
edures performed.
** **
Auditing Standards

Par. .19 and .A51 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the AuditEviden
AU-C section 505,External Confirmations AS 2503Auditing Derivative Instruments, Hedging Activities, and Investments in Sec
Par. .A13 of AU-C sec. 501, Audit Evidence—Specific

AS 2503Auditing
Considerations
Derivative
for Instruments,
Selected Items
Hedging Activities, and Investments in Sec
Par. 2a Preface: Principles Underlying

an Audit Conducted in Accordance AS 2503Auditing Derivative Instruments, Hedging Activities, and Investments in Sec
With Generally Accepted Auditing
Standards


***
Example Audit Da
Caseware ACL
***
Oversight Dronescan
Confirmations.com

responders.
responders.

responders.

Appendix B and C of the Guide to Audit Data Analytics provide examples of
using ADAs in performing substantive analytical procedures and tests of
details.
Examples included within Appendix B "Examples of ADAs Used in


Examples included within Appendix C "Examples of ADAs Used in


- Example 4-2 – 3-Way Match of Sales Invoices, Shipping Documents, and a
Master Price List
General Audit Procedures by Account - ACCOUNTS RECEIVABLE
***Please note that the audit data analytics are referenced as examples only. They are not endorsed by or affiliated with the AI
*
Industry
Accounts Receivable:
1 General
Agree receivables subledger to the general ledger control account

and investigate large and unusual reconciling items.
2 General
Confirm accounts receivable.
Determine the size of the sample and document the rationale for the
method used to select the sample in the working papers. Examine
subsequent cash receipts, shipping records, sales contracts, and
other evidence to verify the validity of accounts receivable for which
replies to confirmation requests are unsatisfactory or were not
obtained or as part of supporting year-end receivables balances.
3 General
4 General
4 General
5 Evaluate the adequacy of the allowance for doubtful accounts. General
6 Evaluate the adequacy of other adjustments to accounts receivables, General

such as rebates, credit memos, discounts.
7 Test appropriate valuation of accounts receivables in foreign General

currencies.
8 Inquire about or review list of credit balances and investigate large General
items.
Test cutoff of receivables/sales

9 General
ECEIVABLE
****
Existence
Presentation and Disclosure
Existence
Completeness & Accuracy Roll forward Year end
Valuation


Valuation

Presentation & Disclosure Substantive Interim & Year end
Valuation


that the auditing standard linked to each

standard noted.
edures performed.
** **
Auditing Standards
Audit
cell
Procedures
was intentionally
in Responseto
left blank
Assessed Risks and Evaluating the AuditEvidenc
Par. .A24–.A27 of AU-C sec. 505,External Confirmations
Par. .20 and .A51 of AU-C sec. 330, Performing Audit Procedures
AS 2310The in Responseto
Confirmation Assessed Risks and Evaluating the AuditEvidenc
Process
Par. .07 of AU-C sec. 530,Audit Sampling
Par. .12, .23, .A51, and .A60 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the Au
Par. .A24 of AU-C sec. 505,External Confirmations
AU-C section 520,Analytical Procedures

Par. .A58 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidence Obtain

Estimates,Including
Fair Value
Estimates

Estimates,Including
Fair Value
Estimates

This
in Responseto
Assessed Risks
left blank

This
in Responseto
Assessed Risks
left blank
Example Aud
Caseware ACL
SUMMARIZE receivables on related revenue
control account and JOIN with General Ledger.
Easy IDEA routine Filter for differences, and report the largest
differences by amount/percentage
Accounts Receivable Analytics can be used for value added tests
Join database (matching) on invoicenumber. IDEA offers several sampling methods together with the ability to calculate sampl
CMA / MUS Sampling can be used to select the sample for confirmation
Compare 2 files (Interim and Year-End) using accounts Perform a variance analysis between Interim and
year-end accounts, highlighting items over a
as the key field specified threshold requiring further review.

Re-perform aging Accounts Receivable AnalysisSpecifically looking at days billings outstan
Extraction to isolate adjustments - manual operations (1) Unauthorized adjustmentsIdentify adjustments posted in A/R by una
Recalculate AR values using exchange rates in

effect (as obtained from Bank of Canada or other
This cell was intentionally left blank applicable central bank on line) and compare to
recorded values in GL. Identify significant
Isolate credit balances and use a criteria to extract ACL Essentials - Debtors with credit balances
large amounts
Compare posting dates vs. date entered to

SmartAnalyzer test identify potential cut-off issues
***
Oversight Dronescan
Confirmations.com
Confirmation.com is an audit confirmation solution that

offers a secure online platform for auditors and
accounting firms to effectively perform audit
confirmations (e.g., accounts receivable, accounts
payable, bank, etc.) in both online and paper formats
securely to third-party responders.


Examples included within Appendix B, "Examples of ADAs Used in


Revenue
Steam
Examples included within Appendix C, "Examples of ADAs Used in


- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents,
and a Master Price List

Revenue
Steam


General Audit Procedures by Account - INVENTORY
* Industry
Inventory:
1 General
Observe the taking of physical inventory to establish that:
General
a. The client’s personnel are complying with the instructions for
taking inventory
General
b. Items belonging to the client, or belonging to others but for
which the client is responsible, are accurately counted and recorded.
General
c. Items to be excluded from inventory (no-value items, non-
inventory items, items belonging to others) are either subject to
satisfactory control and excluded from the counting process or are
accurately counted and recorded, including a clear description of
their non-inventory status.
General
d. Count tags, sheets, or cards are properly controlled.
e. Perform tests of the client’s counts (from the floor to the General
recorded counts and from recorded counts to the floor); record
sufficient information to be able to trace the test counts into the
inventory compilation at a later date; record selected information
concerning the tags, sheets, or cards that are used, partially used,
unused, and voided.
f. Inspect shipping, receiving, and transfer documents and the

related inventory items, when appropriate, to establish the numbers General
of the last documents used and other information needed to
subsequently verify cutoffs in the accounting records.
2 Review the physical inventory compilation:

a. Trace test counts, confirmations, and, if necessary, records of the
count prepared by the client (for example, count tags, sheets, or
cards) to the inventory compilation. Determine that the unit of General
measure used in the physical inventory compilation is consistent with
the unit of measure used during the physical count.
b. Trace items on the final inventory listing to the physical inventory

tags. Determine that the unit of measure used in the physical General
inventory compilation is consistent with the unit of measures used
during the physical count.
c. Verify that the information gathered during the physical

observation regarding the tags, sheets, or cards that were used, General
partially used, unused, and voided is accurately reflected in the
inventory compilation.
If significant, confirm inventories held by others at the physical

3 inventory date and trace confirmed quantities to the inventory General
compilation; consider observing these physical inventories, as well.
Review and compare the reconciliation of the valued physical

4 inventory compilation with the general ledger account balances and General
the perpetual inventory records. Investigate large and unusual
reconciling items.
5 General
6 General
6 General
7 General
Test the valuation of inventory to ensure that it is performed in
accordance with the client’s accounting policy or applicable financial
reporting framework.
8 Test the allowances to reduce the valuation of inventory to net General

realizable value, for example, reserves for slow moving items,
obsolescence, or lower of cost or market.
****
Existence
Rights & Obligations Substantive Interim & Year end
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness
Existence
Completeness

Completeness
Existence
Rights & Obligations Roll forward Year end
Completeness

Completeness
Completeness
Existence
Completeness
Existence
Completeness

standard noted.
edures performed.
** **
Auditing Standards
Par. .11a of AU-C sec. 501,Audit Evidence—Specific Considerations
AS 2510Inventories
for Selected Items

AS 2510Inventories
for Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence—Specific Considerations

AS 2510Inventories
for Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence—Specific Considerations

AS 2510Inventories
for Selected Items

AS 2510Inventories
for Selected Items
Par. .A26 of AU-C sec. 501,Audit Evidence—Specific Considerations

AS 2510Inventories
for Selected Items

AS 2510Inventories
for Selected Items
AS 2510Inventories
for Selected Items
Par. .11–.15 of AU-C sec. 501,Audit Evidence—Specific AS

Considerations
2510Inventories
for Selected Items
Par. .11–.15 of AU-C sec. 501Audit Evidence—Specific Considerations

AS 2510Inventories
for Selected Items
Par. .15 of AU-C sec. 501,Audit Evidence—Specific Considerations for Selected Items
AS 2510Inventories
Par. .19 and .A51 of AU-C sec. 330,Performing Audit Procedures in Response to Assessed Risks and Evaluating the AuditEvidenc
This cell was intentionally left blank AS 2510Inventories
AS 2510Inventories
Par. .12, .23 and .A60 of AU-C sec. 501,Audit Evidence—Specific Considerations for Selected Items
AS 2301The Auditor's Responses to the Risks of Material Misstatement

AS 2510Inventories
Considerations for Selected Items
AS 2510Inventories
Considerations for Selected Items
Par. .A20 of AU-C sec. 500,Audit Evidence AU Section 331Inventories
This cell was intentionally left blank AU Section 331Inventories



Inventory

Inventory
Inventory

***
Example Audit D
Caseware ACL
This cell was intentionally left blank ACL Essentials - Inventory Listing extract can be used as a starting point
This cell was intentionally left blank ACL Essentials - Inventory Listing extract can be used as a starting point
IDEA for Sample selection Sample selection
This cell was intentionally left blank CMA / MUS Sampling can be used to select inventories held by others fo

***
Oversight Dronescan
Confirmations.com



Appendix B and C of the Guide to Audit Data Analytics provide examples of using
ADAs in performing substantive analytical procedures and tests of details.
Examples included within Appendix B, "Examples of ADAs Used in Performing

Substantive Analytical Procedures":

Examples included within Appendix C, "Examples of ADAs Used in Performing




Tests of Details":

- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and a Master
Price List
General Audit Procedures by Account - PREPAID EXPENSES & OTHER ASSETS
* Please note that this document is not intended to be all-encompassing. If you rely on system-generated reports and data you
*
Industry
Prepaid expenses, deferred charges, and other assets:

Verify existence and carrying amounts through examination of
1 supporting documents, or confirmation or a combination of those General
procedures
2 Roll forward of prepaids General

NSES & OTHER ASSETS
s may reach different conclusions about the relevant assertions tested based upon the procedures performed.
****
Existence
Valuation
Completeness & Accuracy Substantive Year end


standard noted.
dures performed.
** **
Auditing Standards
Par. .19 and .A51 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidenc

Par. .20 of AU-C sec. 500,Audit Evidence
Par. .12, .23, and .A60 of AU-C sec. 330, Performing

This cell
Audit
wasProcedures
intentionally
in Responseto
left blank Assessed Risks and Evaluating the AuditEv

***
Example Audit Data
Caseware ACL
***
Oversight Dronescan
spend programs.

spend programs.
Confirmations.com

Appendix B and C of the Guide to Audit Data Analytics provide examples of using ADAs in
performing substantive analytical procedures and tests of details.
Examples included within Appendix B, "Examples of ADAs Used in Performing Substantive

Analytical Procedures":

Examples included within Appendix C, "Examples of ADAs Used in Performing Tests of

Details":

- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and a Master Price List
General Audit Procedures by Account - INVESTMENTS
*
Industry
Investments, including investments in affiliates:

1 General
Verify the existence and ownership of recorded investments,

including those in affiliates, through confirmation or examination of
evidence of ownership. Investigate unusual items.
2 General
Review minutes (shareholders, board, executive committee, and so

on); agreements and confirmation replies for evidence of existence,
liens, pledges, or other security interests in investments; and of
commitments to acquire or dispose of investments.
3 General
Inspect market quotations, financial statements of investees, and

other evidence of current value, cost, or equity amount of
investments and test that investments are carried in accordance with
the client’s accounting policies or applicable financial reporting
framework, including foreign currency translations.
****
Existence Substantive Interim & Year end



standard noted.
dures performed.
** **
Auditing Standards
Par. .19 and .A51 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidenc
AU-C section 501, Audit Evidence—Specific Considerations for Selected Items
AU-C section 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidence Obtained
Par. .A13, .A14, .04 and .05 of AU-C sec. 501, Audit Evidence—Specific Considerations for Selected Items


***
Example Audit Data
Caseware ACL
This cell was intentionally left blank CMA / MUS Sampling can be used to select investments for confirmatio
This cell was intentionally left blank Use of Text Analytics Toolkit to identify keywords and word trends over
***
Oversight Dronescan
Confirmations.com

details.



Tests of Details":

- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and a
Master Price List
General Audit Procedures by Account - IMPAIRMENTS
* Industry
Impairment testing
1 management has identified appropriate indicators of impairment General
and determine that the valuation adjustments are appropriate.
****

standard noted.
edures performed.
**
**
Auditing Standards
Par. .09 and .A17—.A18 of AU-C sec. 501, Audit
This
Evidence—Specific
Considerations
left blank for Selected Items
***
Example Audit Dat
Caseware ACL
This cell was intentionally left blank Fixed Asset Analysis
***
Oversight Dronescan
Confirmations.com
General Audit Procedures by Account - INTERCOMPANY ACCOUNTS
In addition please note the following:
* Industry
Intercompany
1 General
Review the General Ledger at year end to ensure that intercompany

accounts net properly.
2 General
Obtain a complete list of affiliated companies and obtain
confirmation of receivables from and payables to affiliates or agree
the account balances with those in the affiliates' records.
3 General
Test the carrying amounts of intercompany accounts, including those
in foreign currencies.
4 General
Test cutoff by inspecting sales register, billings, shipping documents,

and other supporting documents before and after the year-end date.
5 General
Evaluate the adequacy of the allowance for doubtful intercompany
receivables, considering the aging and findings from audit
procedures performed in the area of investments.
NY ACCOUNTS
****
Existence
Valuation
Completeness & Accuracy Substantive Year end

Valuation

standard noted.
edures performed.
**
**
Auditing Standards
4th bullet of par. .A69 of AU-C sec. 600, SpecialThis
Considerations—Audits
cell was intentionallyofleft
Group
blank
Financial Statements (Including the Work of C

Par. .13–.15 of AU-C sec. 550, Related Parties
AU-C section 600, Special Considerations—Audits

Thisof
cell
Group
was intentionally
left blank
(Including the Work of Component Auditors)

This
in Responseto
Assessed Risks
left blank
***
Example Audit Data
Caseware ACL
Extraction on sub-accounts. Manual Summarize and compare intercompany accounts
operations to ensure they net to zero
Summarize and compare affiliate company

This cell was intentionally left blank accounts to ensure they agree; highlight
variances for further analysis.
Extraction + Manual operations This cell was intentionally left blank
Join Sales Orders to Shipping Documents to

Field Statistics and Date Stratification to isolate Billings; review the dates of entry/posting for
transactions/entries after year-end date. each for transactions that "bridge" the year-end
date. Extract these and compare against accruals.
Re-perform aging Debtors age analysis

***
Oversight Dronescan
Confirmations.com


General Audit Procedures by Account - LONG-TERM FINANCIAL ASSETS
* Industry
Long-term receivables, non-current deposits, and other long-term financial assets
1 Verify the existence and ownership of long-term receivables through General

1 Verify the existence and ownership of long-term receivables through General
2 Test the carrying amounts of long-term financial assets. General

INANCIAL ASSETS
****
ts



standard noted.
edures performed.
**
**
Auditing Standards

Par. .19–.20 and .A51 of AU-C sec. 330, Performing Audit Procedures in Responseto Assessed Risks and Evaluating the AuditEvi

This
in Responseto
Assessed Risks
left blank
***
Example Audit Data
Caseware ACL
This cell was intentionally left blank CMA / MUS Sampling can be used to select receivables for confirmation
This cell was intentionally left blank CMA / MUS Sampling can be used to select receivables for confirmation
***
Oversight Dronescan
Confirmations.com
Confirmation.com is an audit
confirmation solution that offers a secure
online platform for auditors and
accounting firms to effectively perform
audit confirmations (for example,
accounts receivable, accounts payable,
bank, and so on) in both online and paper
confirmation solution that offers a secure
online platform for auditors and
bank, and so on) in both online and paper
formats securely to third-party
responders.

Appendix B and C of the Guide to Audit Data Analytics provide examples of using ADAs
in performing substantive analytical procedures and tests of details.
Appendix B and C of the Guide to Audit Data Analytics provide examples of using ADAs
in performing substantive analytical procedures and tests of details.


Details":

- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and a Master Price
List
General Audit Procedures by Account - PROPERTY, PLANT, AND EQUIPMENT
* Industry
Property, plant, and equipment and related income statement accounts

Obtain a schedule of property, plant, and equipment, including
1 capitalized leases, and related additions, disposals, reclassifications General
and depreciation, depletion, and/or amortization (PPE subledger)
and agree balances to the respective general ledger accounts.
For significant additions and disposals during the year, examine

2 invoices, capital expenditure authorizations, leases, and other data General
that support these additions and disposals.
Review and examine support for rentals under operating leases and
3 for significant charges to repairs, maintenance, and other expense General
accounts to determine if they should be capitalized as property,
plant, and equipment.
Review reasonableness of depreciation, depletion and amortization

4 charge by reference to the client's accounting policy and applicable General
financial reporting framework and expectation for current year.
5 Use information obtained during the audit in determining whether General
management has identified appropriate indicators of impairment.
ANT, AND EQUIPMENT
****

Valuation

Valuation

Valuation
Valuation

standard noted.
edures performed.
**
**
Auditing Standards
This cell was
in Responseto
intentionally
Assessed
left blank
Risks and Evaluating the AuditEvidence Obtaine

This
in Responseto
Assessed Risks
left blank
This
in Responseto
Assessed Risks
left blank
***
Example Audit Data
Caseware ACL
Performing an extraction (based on
account numbers). Include manual Combination of use of Fixed Asset Analysis and Textual Analytics
explanation
Stratify Combination of use of Fixed Asset Analysis and Textual Analytics
This cell was intentionally left blank Combination of use of Fixed Asset Analysis and Textual Analytics
SmartAnalyzer Test:• Recalculate Straight Line Depreciation

Expected
creates
depreciation
a list of fixed
recalculationRecalculate
assets using the straight-linemethod
expected depreciation
of depree
***
Oversight Dronescan
Confirmations.com

Appendix B and C of the Guide to Audit Data Analytics provide examples
of using ADAs in performing substantive analytical procedures and tests
of details.




Master Price List
General Audit Procedures by Account - INTANGIBLE ASSETS (INCLUDING GO
*
Industry
Intangibles, including Goodwill

1 General
Obtain a schedule of intangibles, including goodwill, and examine the

bases on which additions, amortization, and disposals are recorded.
Examine invoices, authorizations, contracts, agreements, and other
data that support ownership of intangibles or deferred charges
capitalized and disposed of during the year.
2 General
Determine whether writeoffs are required to reflect permanent

impairments of the carrying amounts of intangible assets or deferred
charges.
SSETS (INCLUDING GOODWILL)
****
Valuation

Valuation

standard noted.
edures performed.
** **
Auditing Standards
Par. .A7 of AU-C sec. 540, Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures
Intangibles & Goodwill This cell was intentionally left blank
Intangibles & Goodwill This cell was intentionally left blank

***
Example Audit Data
Caseware ACL
***
Oversight Dronescan
Confirmations.com

Appendix B and C of the Guide to Audit Data Analytics provide examples of using ADAs in
performing substantive analytical procedures and tests of details.
Examples included within Appendix B, "Examples of ADAs Used in Performing Substantive

Analytical Procedures":


Details":

- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and a Master Price List
General Audit Procedures by Account - NOTES PAYABLE
* Industry
Notes payable
1 General
Confirm notes payable regarding amounts owed, terms, collateral,

and restrictions and the debtor's compliance with the loan
provisions. If not identified through confirmation with creditors,
identify liens, security interests, and assets pledged as loan collateral
by confirmation with the appropriate public filing offices or by
inspection of public records.
2 General
Inspect documentation of loan agreements or other short-term

lending arrangements (for example, factoring) to determine the
terms, restrictions, revolving lines of credit, and other pertinent
provisions of notes payable.
3 Test calculations and other evidence relating to compliance with the General
terms, restrictions, or other provisions of loan agreements.
Review refinancing agreements and notes payable transactions

4 subsequent to the balance sheet date to determine their effects on General
balance sheet classification or on disclosure.
5 Determine the exchange rate at the balance sheet date and General
recalculate using that rate.
****
Valuation
Completeness & Existence Substantive Interim & Year end





standard noted.
edures performed.
** **
Auditing Standards
Par. .19 and .A51 of AU-C sec. 330, PerformingAudit Procedures in Responseto Assessed Risks and Evaluating the AuditEvidence Obtained
AU-C section 505, External Confirmations

This cell
in Responseto
was intentionally
AssessedleftRisks
blank

This cell
in Responseto
was intentionally
AssessedleftRisks
blank

This cell
in Responseto
was intentionally
AssessedleftRisks
blank
***
Example Audit Data
Caseware ACL
This cell was intentionally left blank CMA / MUS Sampling can be used to select notes payable for confirmati
Recalculate financial statement balances using

exchange rates in effect (as obtained from Bank
of Canada or other applicable central bank on
This cell was intentionally left blank line) and compare to recorded values in GL.
investigation.
***
Oversight Dronescan
Confirmations.com
confirmation solution that offers a
secure online platform for auditors and
bank, and so on) in both online and
responders.


This cell was intentionally left blank Performing Substantive Analytical Procedures":

Revenue
Steam

This cell was intentionally left blank - Example 4-1 – Cash Receipt to Sales Invoice Matching Procedure

General Audit Procedures by Account - ACCOUNTS PAYABLE
* Industry
Accounts Payable:
1 Agree the accounts payable subledger to the general ledger control General
account and investigate large and unusual reconciling items.
Inquire about or perform a review of accounts payable subledger for

2 unusual items, for example, significant debit balances in the accounts General
payable subledger or other unexpected amounts to verify proper
classification and valuation.
Perform cut-off tests for goods and services received as well as for
3 supplier credit memos to ensure that transactions are completely General
recorded in the correct period.
Perform a search for unrecorded liabilities at the year-end date by

4 selecting subsequent disbursements and unmatched invoices and General
receiving reports.
5 Test appropriate valuation of accounts payable in foreign currencies. General

****


Rights & Obligations Substantive Year end
Valuation

that the auditing standard linked to each

standard noted.
dures performed.
** **
Auditing Standards
This
in Responseto
Assessed Risks
left blank

This
in Responseto
Assessed Risks
left blank
AU-C section 330, PerformingAudit ProceduresThis

in Responseto
Assessed Risks
left blank

This
in Responseto
Assessed Risks
left blank

This
in Responseto
Assessed Risks
left blank
**
Example Audit D
Caseware ACL
Compare AP subledger to the GL and identify
SmartAnalyzer test significant differences for investigation.
SmartAnalyzer test Inspirations - P2P
SmartAnalyzer test This cell was intentionally left blank
Join the two databases (current and subsequent) and ACL Essentials - Three way match
select the option Records with no primary match
Recalculate AP values using exchange rates in effect

(as obtained from applicable central bank on line) and
Creation of calculated and Summarization compare to recorded values in GL. Identify significant
***
Oversight Dronescan
Confirmations.com

details.



Tests of Details":

Master Price List
General Audit Procedures by Account - INCOME TAXES
* Please note that this document is not intended to be all-encompassing. If you rely on system-generated reports and data you
* Industry
Income Taxes
Test the reconciliation of the current year book/local GAAP/statutory
1 and taxable income, validate the split between permanent and General
timing differences, and compare reconciling items with those in prior
years and examine support.
Test computations of provisions for current and deferred income

2 taxes for the current year and reconcile to appropriate balance sheet General
and income statement accounts.
3 Investigate potential impairments of deferred tax assets. General
Review the movement of income tax account balances from prior

4 year (including those currently payable or deferred) and valuation General
allowances for deferred tax assets.
Determine whether provision should be made for any tax positions

5 taken by the client or other tax contingencies, for example, as a
result of related party transactions, that may be challenged by tax General
authorities.
Test that intercompany and other related party transactions have a

6 valid business reason and are recorded on an arm's length basis. If in General
doubt, consider the involvement of appropriate specialists.
****


standard noted.
edures performed.
**
**
Auditing Standards
AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

AS 2501Auditing
FairAccounting
Value Accounting
Estimates

***
Example Audit Data
Caseware ACL
***
Oversight Dronescan
This cell was intentionally left blank this cell was intentionally left blank
Confirmations.com



Examples included within Appendix C, "Examples of ADAs Used in Performing Tests

of Details":

Price List
General Audit Procedures by Account - OTHER LIABILITIES
*
Industry
Provisions, accrued and other liabilities, deferred income

Examine the schedule of provisions, accrued liabilities, and deferred
1 income for correctness and completeness, agree amounts to the General
general ledger accounts and ensure proper cutoff.
Examine the composition and computation of pension and other

2 employee-related long-term reserves for reasonableness and General
consider the use of specialists.
Review other liabilities to determine they are appropriate. Determine

3 that the amounts appear to be reasonable in comparison with prior General
years and under consideration of your understanding of the clients
business and changes to it.
4 Read legal confirmations, board, and audit committee minutes to General

ensure that appropriate reserves/accruals have been recorded.
****


standard noted.
edures performed.
** **
Auditing Standards
AS 2501Auditing
FairAccounting
Value Accounting
Estimates
This cellinwas
Par. .21 of AU-C section 330, Performing Audit Procedures intentionally
Responseto leftRisks
Assessed blankand Evaluating the AuditEvidence Obtained

This
in Responseto
Assessed Risks
left blank

This
in Responseto
Assessed Risks
left blank

deferred income
deferred income
deferred income
deferred income
deferred income
**
Example Audit
Caseware ACL
Compare YoY by joining other liabilities account

This cell was intentionally left blank against the previous year. Identify and report
significant changes, additions, and subtractions.
This cell was intentionally left blank Use of Text Analytics Toolkit to identify keywords and word trends over
***
Oversight Dronescan
Confirmations.com




Tests of Details":

Price List
General Audit Procedures by Account - DEBT
* Industry
Debt
1 General
Obtain and review a summary of long-term debt and interest for

reasonableness of calculations of interest expense and accrued
interest, including foreign currency translations and agree schedules
to general ledger. Test compliance with the terms, maturities,
restrictive covenants, or other provisions of debt agreements. In the
case of noncompliance, review any waivers obtained and ascertain
that debt is properly classified.
For new agreements in the year under audit, inspect original or

2 authenticated copies of debt agreements, or other related General
documents to test the terms, restrictive covenants, and other
pertinent provisions of long-term debt.
Read confirmations received from banks or other debt holders to

identify liens, security interests, and assets pledged as collateral for
3 debt or, if necessary, confirm these items with the appropriate public General
filing offices or by inspection of the public records. Determine
whether the financial statements include the required disclosures.
For long-term debt, confirm amounts owed and ensure funds, terms,
4 collateral, restrictions, and the client's compliance with the General
provisions of the agreements.
Obtain summary of lease and rent contracts and determine whether

5 they have been correctly categorized, based on lease terms, (for General
example, operating or finance lease) in the financial statements.
Determine whether the effects of refinancing agreements and long-
6 term debt transactions subsequent to the balance sheet date are General
appropriately reflected (for example, classification or disclosure)
****


standard noted.
edures performed.
**
**
Auditing Standards
Par. .21 of AU-C sec. 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtain
Par. .A19 and .A20 of AU-C sec. 500,Audit Evidence
Par. .21 of AU-C sec. 330, Performing Audit This

Procedures
cell wasinintentionally
Response to left
Assessed
blank Risks and Evaluating the Audit Evidence Obtain

Audit
cell
Procedures
was intentionally
in Response
left blank
to Assessed Risks and Evaluating the Audit Eviden

This
in Response
to Assessed left
Risksblank
Par. .09–.11 of AU-C sec. 560,Subsequent Events
This
and
cellSubsequently
was intentionally
Discovered
left blank
Facts

***
Example Audit Dat
Caseware ACL
***
Oversight Dronescan
Confirmations.com

responders.

details.



Tests of Details":

Master Price List
General Audit Procedures by Account - EQUITY
* Industry
Equity
Obtain an equity reconciliation schedule, including retained earnings,
1 General
Agree the balances per the financial statements to the account
balances per the general ledger. Determine whether changes in
equity, (for example, profit distributions, other equity reductions or
increases) from the prior year end to the current year end are
properly accounted for. Determine compliance with applicable laws
and regulations, including taxation issues.
Review the minutes and other supporting documents for the

2 authorization for, and the details of, the transactions that affected General
the equity accounts and disclosures during the period, including
equity restrictions.
Read board or authorized committee minutes and inquire of

3 management regarding any stock option agreements. Determine General
whether options have been appropriately accounted for and
disclosed.
Read board or authorized committee minutes to determine whether

4 all dividend payments are appropriately approved and declared, and General
that tax regulations have been followed.
****


standard noted.
edures performed.
** **
Auditing Standards
This cell was
in Response
intentionally
to Assessed
left blank

This cell was
in Response
intentionally
to Assessed
left blank

This cell was
in Response
intentionally
to Assessed
left blank

This cell was
in Response
intentionally
to Assessed
left blank

***
Example Audit Data
Caseware ACL
***
Oversight Dronescan
Confirmations.com





- Example 4-2 – 3-Way Match Sales Invoices, Shipping Documents, and
a Master Price List

Audit Data Analytics To Traditional Procedures Mapping Document

Загружено:

Сведения о документе

Исходное описание:

Оригинальное название

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

Audit Data Analytics To Traditional Procedures Mapping Document

Загружено:

Авторское право:

Доступные форматы

Audit Data Anal

II. Notice to Readers

III. Layout and Organization of the Mapping Document

This tab includes the full library of example audit

This tab includes a number of visualization and da

This spreadsheet focuses on the risk assessment a

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes a general audit procedu

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

This spreadsheet includes general audit procedur

Overview Number of Analytics Referenced

ull library of example audit procedures and

mber of visualization and dashboard

ses on the risk assessment area of the audit

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes a general audit procedure that could be

udes general audit procedures that could be

udes general audit procedures related to

udes general audit procedures related to the

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

udes general audit procedures that could be

dards or preferred practices.

In addition, please note the following:

CLICK HERE TO NAVIGATE BACK TO THE INTRODUCTION TAB

Risk Assessment Procedures

Obtaining an understanding of internal control over financial

Considering information from the client acceptance and retention

4 Performing analytical procedures. General

b. For each account, calculate the mean, median, mode, and

Conducting a discussion among engagement team members

Inquiring of management and others

Journal Entry Procedures

Obtain understanding of the period-end financial reporting process,

3 Identify population of journal entries to be selected for testing. General

a. Examine population for missing or incomplete journal entries.

b. Examine possible duplicate account entries. General

d. Examine post-date entries. General

e. Examine entries posted on weekends. General

For all journal entry selections made, perform the following