Any software with that capability of directly reading and accessing data from databases is called audit software. The software has the ability to carry out mathematical computation and operations, statistical analysis, sequence checks etc. the software assists the auditor in accessing directly the data stored in computer’s hard – disk and servers. There several types of audit software. These are
- Generalized Audit Software
- Utility Programs
- Purpose written Programs
- Commercial Software
- Embedded Audit Modules
- Integrated Test Facility
- Parrallel Simulation
- Program Code Analysis
These are explained here under.
1. Generalized Audit Software
These come in diverse variety of forms. It may be software available over the shelf or tailor – made software to specification of the auditor. The software has the capability of perform a variety of functionalities such as reading computer files, selecting specific data, manipulating data, sorting data summarizing data, selecting samples, recalculations etc in a way specified by the auditor.
These are program, which are generally not designed for audit purpose but can be used by the auditor to perform common data processing functions such as sorting, creating and printing files Purpose written Programs These are tailor – made programs specifically written either by auditor or programmers at the request of the auditor.
These are off the shelf programs that are readily available in the market. These include the Microsoft Excel, Microsoft Word etc. these programs are used by the auditor in analysis as well as writing reports.
4.Embedded Audit Modules
This is CAAT in which a code is prepared by the auditor and embedded in the client’s software. The code is designed to replicate a specific aspect of the control procedure or to record details of certain transaction in a file accessible only to the auditor
5.Integrated Test Facility
This is a facility forming part of the client’s software and enables the auditor’s test data to be integrated and be processed with the client’s live input data. The facility ensures that the test data updates auditor’s dummy files. The dummy files are examined to ensure that the test data is properly
processed as required
The actual client’s data is processed using a copy of the client’s software that has undergone program code analysis by the auditor and under that control of the auditor. The two copies of processed data are compared to ensure that the processing is identical
7.Program Code Analysis
This the analysis of the client’s program code to ensure that the instructions given to the computer are the same instructions that the auditor had identified when reviewing the system development