XBRL awareness in auditing: a sleeping giant?

Abstract

EXtensible Business Reporting Language (XBRL) is a revolutionary digital language that “tags” information for business reporting since it represents a universal standard for global business reporting. XBRL usage has a significant impact on auditors – both external and internal and is seen as a tool to implement the American Institute of Certified Public Accountants’ (AICPA) new reporting model. The model calls for real‐time, or continuous, reporting of company information. In order to do so reliably, continuous assurance on the data would need to be performed by external auditors. XBRL General Ledger (GL) is a taxonomy incorporating all ledger functions into XBRL. Thus, company information that typically takes days to create could be available in real‐time, anywhere in the world. This article reports on an XBRL survey conducted using accountants and auditors. Results indicate many accountants and auditors have low (if any) knowledge or experience with XBRL and do not perceive the intended benefits XBRL usage provides.

Citation

Pinsker, R. (2003), "XBRL awareness in auditing: a sleeping giant?", Managerial Auditing Journal, Vol. 18 No. 9, pp. 732-736. https://doi.org/10.1108/02686900310500497