Index

Continuous Auditing

ISBN: 978-1-78743-414-1, eISBN: 978-1-78743-413-4

Publication date: 8 March 2018

This content is currently only available as a PDF

Citation

(2018), "Index", Chan, D.Y., Chiu, V. and Vasarhelyi, M.A. (Ed.) Continuous Auditing (Rutgers Studies in Accounting Analytics), Emerald Publishing Limited, Leeds, pp. 341-350. https://doi.org/10.1108/978-1-78743-413-420181019

Publisher

:

Emerald Publishing Limited

Copyright © 2018 Emerald Publishing Limited


INDEX

Access violations
, 116–117

Accounting Standards Board (ASB)
, 171

Accounts payable
, 3

Accounts receivables
, 3

Activity-Based Management
, 153

Adaptation to technologies
, 78–79

Advanced Decision Support System
, 131

Agency costs, continuous online auditing of
, 139–141

AIC
, 42

Alarm hierarchy
, 240–243

Amazon
, 43

American Institute of Certified Public Accountants (AICPA)
, 32, 54, 59, 150, 173, 188, 251

Accounting Standards Board
, 171

ASEC Emerging Assurance Technologies Task Force
, 27

assurance independence
, 162

Assurance Services Executive Committee
, 294

Auditing Procedures Study
, 178

Committee on Continuous Auditing
, 130

Elliot Committee
, 129, 152, 158

Enhanced Business Reporting project
, 8

Red Book
, 7, 8, 16, 46, 249, 261

Statement on Auditing Procedure
, 286, 288–289

Systems Reliability Task Force
, 129–130

SysTrust
, 130, 152, 158, 160

Vision Project 1998
, 170

WebTrust
, 130, 152, 158, 160

Analytical procedures
, 277

Analytic method
, 34–36, 78

Analytic monitoring, for continuous assurance
, 191–215

automatic confirmations
, 212–213

continuity equations
, 208–209

control tags
, 213

data taps
, 211–212

dynamic reconciliation of accounts
, 211

hierarchy of auditing
, 204–205

levels of assurance and audit objectives
, 196–202

MC layer
, 205–207

outcomes
, 213–214

process
, 203–204

supply and demand
, 193–196

tagging data accuracy
, 209–210

tertiary ‘black box’ monitoring
, 207

time series analysis
, 210–211

timing of
, 202–203

tools for
, 207–213

Annual World Continuous Auditing and Reporting Symposium
, 323

Anti-money laundering
, 15

Apple
, 43

Application agents
, 306–308, 311

Approva
, 249, 250

Archival audit
, 150

Article collection
, 62

Article source
, 62

Artificial neural network assistant (ANNA)
, 61

Association of Certified Fraud Examiners
, 289

Assurance
, 8

continuous
, 149–165, 251

continuous data
, 9, 261–268, 277

control level
, 30

costs of providing
, 160–161

embedded modules
, 163–164

entity
, 36

estimation of
, 200–201

independence
, 162, 164

judgment
, 201–202

levels of
, 29–30, 196–202

measurement rule
, 199–200

products, ownership of
, 161–162

Assurance Services Executive Committee (ASEC)
, 294

Emerging Assurance Technologies Task Force
, 27

Assuror’s independence, and continuous assurance
, 162–164

AT&T Corp.
, 3, 248, 273

continuity equations
, 208

continuous monitoring versus continuous auditing
, 18

Continuous Process Audit System. See Continuous Process Audit System (CPAS)

RCAM system
, 11, 17–18

transaction evaluation
, 199

Attestation
, 88, 92

Audit Action Sheets (AASs)
, 224–226, 236, 239, 254, 256, 259, 260

selection of
, 230–233

AUDITAPE
, 287

Audit applications approach
, 294

Audit Applications Group (AAG)
, 184

Audit automation
, 56–57, 75

Audit Command Language (ACL)
, 175, 195, 248, 249, 250, 268, 288

Audit Data Standard (ADS)
, 26–28

ecosystem architecture
, 28

Audit data warehouse model
, 293–294

Audit ecosystem
, 42–45

characteristics of
, 43, 299, 309

defined
, 299

external influences on
, 310

to support blockchain-based accounting and assurance
, 299–312

Auditees–auditors relationship
, 144

Audit fatigue
, 21

Auditing: A Journal of Practice and Theory
, 3

Auditing Standards Board
, 178

Statement on Auditing Standards
, 178, 266, 267

Audit-like organizations (ALOs)
, 16, 20, 21

Audit methodology, continuous auditing innovations in
, 273–278

audit reporting
, 278

automation of audit procedures
, 275

continuous or frequent audit
, 274

data modeling and data analytics, for monitoring and testing
, 277–278

internal and external auditors, work and role of
, 275–276

nature, timing, and extent of testing
, 276–277

proactive audit
, 274

Audit modules into DBMS application programs, embedding of
, 110–111

Audit objectives
, 196–202

Auditor interface
, 117–119

Auditors

external
, 2

heuristics
, 92

internal
, 2

relationship with auditees
, 144

Audit process
, 278–280

Audit Reference Library (ARL)
, 184

Audit reporting
, 278

Audit risk assessment
, 134

Audit stages
, 278–280

Audit trial of continuous monitoring of business process controls
, 243

AuSoftware
, 293–294

Australian Institute of Chartered Accountants

Continuous Assurance for the Now Economy
, 16

Automated auditing capability, building
, 169–188

continuous auditing applications
, 182–186

future research
, 186–188

Automated continuous transaction verification environment (ACTVE)
, 60

Automatic confirmations
, 212–213

Automation
, 10, 240, 272, 275, 290

audit
, 56–57, 75

data analytics as precursor to
, 315–321

migration of functions to
, 41–42

path for future
, 76–77

BAAN
, 127, 179

Balanced Scorecard
, 153

Behavioral effects, of continuous online auditing
, 143

Big
, 8, 288

Big Data
, 9, 75–76

BizTalk
, 153, 158

Blockchain-enabled audit model

audit ecosystem to support
, 299–312

Bring-your-own-device (BYOD)
, 31

Business process (BP)

controls, continuous monitoring of. See continuous monitoring of business process controls (CMBPC)

defined
, 220, 262

reengineering
, 153, 239–240

Business transaction agents
, 306

Business transactions, continuous reading of
, 153–154

BW-Bex
, 238

CA analyzer
, 234–239

Canadian Institute of Chartered Accountants (CICA)
, 32, 54, 59, 171, 173

Committee on Continuous Auditing
, 130

Red Book
, 7, 8, 16, 46, 249, 261

Systems Reliability Task Force
, 129–130

SysTrust
, 130, 152, 158, 160

WebTrust
, 130, 152, 158, 160

Carolina Power and Light

SMART Auditing
, 183

Caseware
, 249, 250

Center for Audit Quality (CAQ)
, 27

Choice of assertion
, 33–34

CL Grocers (CLG)
, 42

COBOL
, 110, 132, 288

Cognitive effects, of continuous online auditing
, 143

Committee on Continuous Auditing (CICA/AICPA)
, 130

Compliance
, 199–200

Compliance monitoring (COMO)

continuous
, 14–16

COMPUSTAT
, 63

Computer Associates
, 3

Computerized aided audit tools (CAATs)
, 1, 195, 244, 250, 287, 288, 290–292

Concept confusion
, 40–41

Concurrent auditing techniques (CAT)
, 106–108

Conservation laws
, 262

Content analysis
, 62

Continuity equations
, 208–209, 262

Continuous and intermittent simulation (CIS)
, 179

Continuous assurance (CA)
, 251

analytic monitoring for
, 191–215

in ASP setting, analysis of
, 150–152

assuror’s independence and
, 162–164

business transactions, continuous reading of
, 153–154

components of
, 152–153

demand for
, 155–159

feasibility and economics of
, 149–165

issues for future research
, 164

paying for
, 160–162

supply and demand for
, 193–196

technical architecture of
, 162–164

timing of
, 202–203

transaction monitoring, assurance, and reporting
, 154–155

Continuous Audit
, 3, 7, 8, 16, 46, 249, 261

Continuous auditing (CA)

characteristics of
, 62–75

defined
, 2, 8, 54, 169, 173–174, 186, 221, 251

distinguished from traditional auditing
, 273

elements of
, 10, 20–21

emergence of
, 56–57

guidance on
, 16

implementation of
, 60–61

process
, 174–176

research directory 1983–2011
, 327–338

research distribution
, 4

versus continuous monitoring
, 16–20

See also individual entries

Continuous Audit Monograph
, 291

Continuous audit tools and techniques (CATTs)
, 175, 178, 179, 187

Continuous compliance monitoring
, 14–16

Continuous control monitoring (CCM)
, 9, 12–13, 23–24, 59–60, 71, 74, 252, 277

implementation of
, 60–61

Siemens
, 254–261

Continuous data assurance (CDA)
, 9, 261–268, 277

Continuous data audit
, 11–12

Continuous Management Monitoring (CMM)
, 268

Continuous monitoring (CM)

versus continuous auditing
, 16–20

Continuous monitoring of business process controls (CMBPC)
, 59, 219–245

Audit Action Sheets, selection of
, 230–233

audit trial of
, 243

CA analyzer
, 234–239

continuous monitoring software, developers of
, 243–244

control and alarm hierarchy, management of
, 240–243

data issues
, 233

formalization
, 239–240

implementation of
, 230–239

MC layer–ERP system interaction
, 229–230

modes of
, 226–228

pilot implementation
, 222–226

reengineering
, 239–240

system architecture for
, 228–229

Continuous online auditing (COA)
, 58, 125–147, 250

architectural issues
, 132–137

database applications
, 128–129

defined
, 126–127

economic feasibility
, 127–128

effects/consequences
, 138–146

experiences
, 129–132

factors affecting
, 137–138

history and institutional background
, 128–147

program of research in
, 132–146

research priorities
, 133, 146–147

technological feasibility
, 127

Continuous Process Audit Methodology (CPAM)

online systems
, 88, 92, 102, 103

Continuous Process Audit System (CPAS)
, 17–19, 249, 250

Advanced Decision Support System
, 131

architecture
, 131

online systems
, 87, 88, 92, 94–98, 101–103, 130–132

software implementation
, 96–101

Continuous risk monitoring and assessment (CRMA)
, 13–14, 20, 59

Control(s)
, 231, 240–243

charts
, 60

compliance
, 9

level assurance
, 30

processes, improvement on
, 214

settings
, 227

structure
, 9

tags
, 213

violations
, 116

Corporate governance
, 1

Costs of providing assurance
, 160–161

CRSP
, 63

Data
, 9

capture
, 134

integrity
, 214

mining
, 315

modeling
, 277–278

source
, 32–33

standardization
, 181

taps
, 211–212

Data analytics
, 277–278

exceptions versus audit automation exceptions
, 316

as precursor to audit automation
, 315–321

Database applications, continuous audit of
, 128–129

Database audit
, 24–25

Database control
, 109

Database Management System (DBMS)
, 56, 90–91

audit modules into DBMS application programs, embedding of
, 110–111

controls using DBMS facilities, establishing
, 109–110

environment, need for EAMs in
, 106–107

Database security
, 109

Data description language (DDL)
, 108–110, 123

Data warehousing project interrelationships, auditing of
, 183

Decentralized Autonomous Organization/Corporation (DAO/DAC)
, 301, 303, 305

Decision Support Systems
, 3

Deloitte & Touche, LLP
, 176, 319

Demand for continuous assurance

guarantee of
, 156–158

inherent
, 155–156

real-time assurance
, 158–159

Development and intellectual structure, of continuous auditing research
, 53–81

continuous auditing, characteristics of
, 62–75

continuous controls monitoring
, 59–60

electronic data processing and audit automation
, 56–57

implications of
, 80–81

paths for future research
, 75–80

real-time reporting and assurance, demanding and promoting
, 57–59

Development of continuous auditing
, 249–251

Digital ecosystem
, 302

Direct costs, continuous online auditing of
, 139

Discrepancy analysis
, 207

Distance auditing
, 137

Distributed resource protection mechanism
, 305

Dynamic reconciliation of accounts
, 211

E-Audit
, 230–231, 258

EbXML
, 153, 158

Economic feasibility, of continuous online auditing
, 127–128

EDGAR system
, 65, 172, 250

ElderTrust Plus
, 152

Electronic commerce
, 170

Electronic data interchange (EDI)
, 57, 163, 170, 250

Electronic data processing (EDP)
, 56–57, 126, 135, 179, 287

Electronic Data Processing and Auditing
, 286–287

Electronic financial reporting
, 171–173

Electronic records
, 137

Elliot Committee
, 129, 152, 158

Embedded assurance modules
, 163–164

Embedded audit modules (EAMs)
, 57, 105–123, 228, 229, 258, 292, 293

access violations
, 116–117

advantages of
, 121–122

audit modules into DBMS application programs, embedding of
, 110–111

auditor interface
, 117–119

as audit tool, use of
, 119–121

control violations
, 116

controls using DBMS facilities, establishing
, 109–110

database control and security
, 109

in DBMS environment, need for
, 106–107

drawbacks of
, 122

error handling approaches
, 112

implementation of
, 112–116

operational considerations
, 121

prior research
, 107–108

Enhanced Business Reporting (EBR) project
, 8

Enterprise resource planning (ERP) systems
, 9, 10, 13, 14, 22, 24, 30, 32, 58, 127, 150, 154, 161, 188, 193, 195–196, 272

interaction with MC layer
, 229–230

EQUEL (Embedded QUEry Language)
, 112–113

Equity Funding Corporation scandal of 1973
, 287–288

Ernst & Young (E&Y)
, 132

Error handling approaches
, 112

ETL (extract, transform, and load) process
, 179, 181

European Commission
, 302

Evolution of auditing
, 285–296

Expanded opinion conceptualization
, 37

Exploratory Data Analysis (EDA)
, 34, 47

EXtensible Business Reporting Language (XBRL)
, 58, 65, 74, 171, 172, 186, 188, 250, 268

EXtensible Markup Language (XML)
, 171

Extent of testing
, 276–277

External audit
, 8

technology
, 88

External auditors
, 2

characteristics of
, 138

work and role of
, 275–276

External contracts, continuous online auditing of
, 143–144

Exxon Company USA
, 183–184

FASB
, 188

File transfer protocol (FTP)
, 181

Financial Reporting and Auditing Agent with Net Knowledge (FRAANK)
, 250

Foreign Corrupt Practices Act (FCPA) of 1977
, 288

Formalization
, 219, 220, 222, 226, 231, 232, 233, 236, 237, 239–241, 245

FORTRAN
, 110, 119

Frequent audit
, 274

Fund Radar
, 132, 134

Future audit
, 291–295

General auditing software (GAS)
, 287

General business activity agents
, 306

Generalized audit software (GAS)
, 106

Generally Accepted Accounting Principles (GAAP)
, 54, 161, 187, 197, 199, 202, 275, 286

Generally accepted auditing standards (GAAS)
, 7, 32, 186

Generally accepted data standards (GADS)
, 316

Geographical distribution
, 66

Go Digital initiative
, 302

Google
, 43, 249

Guidance on continuous auditing
, 16

Haskins & Sells
, 287

HCA Inc.
, 273

Health service provider (HSP)
, 250, 253

continuous data assurance
, 261–268

Hierarchy of auditing
, 204–205

History of auditing
, 285–289

Home Depot
, 37

HP
, 3, 273

Human resources
, 1

IBM
, 3, 273, 287

IMS
, 90

internal audit approach
, 17

Watson
, 319

IDEA
, 195

IMS
, 90

Incremental technological change
, 26

Independence
, 41

Industrial Revolution
, 286

Information and communication technologies (ICT)
, 302

Information brokering agents
, 306

Information Systems Audit and Control Association (ISACA)
, 3

IT Audit and Assurance Guidelines, G42, Continuous Assurance
, 16

Information Systems Reliability service
, 129

Information technology (IT)
, 22–28, 221

Audit Data Standard
, 26–28

database audit
, 24–25

evolution of
, 22–23

incremental technological change
, 26

INGRES
, 105, 110, 117

Innovation
, 271–281

in audit methodology
, 273–278

technological process
, 272

Institute of Internal Auditors (IIA)
, 3, 248, 268

GTAG 3 Continuous Auditing: Implications for Assurance, Monitoring, and Risk Assessment
, 16

Intacct Corp.
, 176

Integrated test facilities (ITF)
, 108, 178, 179, 292

Interactive Data Extraction and Analysis (IDEA)
, 288

Internal audit
, 8, 54

technology
, 88

Internal auditors
, 2

work and role of
, 275–276

Internal controls
, 56, 76

Internal vs. external COA effects
, 144

International Federation of Accountants (IFAC)
, 60

International Journal of Accounting Information Systems
, 3

International Journal of Digital Accounting Research, The
, 3

Internet
, 170

Interoperation agents
, 306

Itau Unibanco
, 273

J. D. Edwards
, 127

Journal of Information System
, 3

Judgment assurance
, 201–202

Kaufman, Felix
, 286–287

Key performance indicators (KPIs)
, 12, 204, 206

Key risk indicators (KRIs)
, 14

King Commission
, 46

Kira Systems Inc.
, 319

KPMG
, 16, 174, 220, 244, 319

Large database systems, current environment for
, 90–91

Linear regression
, 266

Longitudinal analysis, by specific area of emphasis

research methods
, 67–70

topical area
, 70–75

Machine learning
, 315

Management advisory services (MAS)
, 161

Management information systems (MIS)
, 80, 87–89

Managerial effects, of continuous online auditing
, 143–144

Marketing
, 1

Materiality
, 38

MC (monitoring and control) layer
, 195, 203, 205–207, 228–229, 240, 243, 292–293

interaction with ERP system
, 229–230

McKesson & Robbins
, 286

Measurement rule assurance
, 199–200

MetLife
, 3, 273

Microsoft
, 318

Mobile robotics
, 303

Moral hazard, auditors
, 142–143

Motorola
, 43

MS Office
, 195

Multi-agent systems (MAS)
, 304

Nature of testing
, 276–277

Negotiation and contracting agents
, 306

New audit products
, 38–40

New continuous audit
, 28–36, 48

analytic method
, 34–36

assurance entity
, 36

assurance level
, 29–30

choice of assertion
, 33–34

chosen procedure
, 33

data source
, 32–33

dimensions of
, 29

time focus
, 30–31

time interval
, 32

Online financial reporting
, 145

Online systems, continuous audit of
, 87–103

alarms
, 95–96

analysis
, 94–95

analytics
, 95

large applications, current environment for
, 90–91

measurement
, 93

metrics
, 95

monitoring
, 93–94

software implementation
, 96–101

technology precluded auditors
, 88–89

Oracle
, 134, 179, 318

Oracle Applications
, 163, 227

Oracle Financials
, 127

Oversight Systems
, 249, 250

Ownership of assurance products
, 161–162

PASCAL
, 119

Payment infrastructure, for continuous assurance
, 160

Penetration testing
, 227, 257

PeopleSoft
, 127, 134, 163, 179

Personal (or interface) agents
, 306

Pilot implementation
, 222–226

Planning and scheduling agents
, 306

Predictive audit
, 3

PricewaterhouseCoopers (PWC)
, 59, 60, 248, 249, 268

Proactive audit
, 274

Probabilistic reporting
, 38

Proctor & Gamble (P&G)
, 3, 273

Program of research, in continuous online auditing

architectural issues
, 132–137

effects/consequences
, 138–146

factors affecting
, 137–138

Prometheus system
, 17, 18

Psychological effects, of continuous online auditing
, 143–144

Push button audit
, 252

Quality of audit, continuous online auditing effects on
, 141–143

auditor’s moral hazard
, 142–143

thoroughness
, 142

timeliness
, 141

Quality of Service (QoS) Framework
, 302

Rating criterion
, 255

RCAM system
, 11, 17–18

Real-time accounting systems (RTA)
, 58, 171–173, 178

Real-time analytical review procedures
, 135–136

Real-time assurance, demand for
, 158–159

Real Time Error Correction
, 267

Real-time reporting and assurance, demanding and promoting
, 57–59

Red Book. See Continuous Audit

Reengineering
, 153, 239–240, 249

Reporting
, 278

Research method
, 62, 63–64

longitudinal analysis of, by specific area of emphasis
, 67–70

SAP
, 12, 134, 188, 249, 318

Audit Action Sheet
, 224, 225

Business Warehouse
, 238

SAP R/3
, 127, 163, 179, 222, 224, 227, 229, 243

Sarbanes Oxley Act of 2002 (SOX)
, 1, 11, 29, 41, 192, 193, 251–252, 288, 296

Section
, 201, 65, 244, 252

Section
, 404, 65, 76, 214, 224, 244, 252, 254, 261, 268

Section
, 409, 58

Scope of auditing
, 134–135

Screen scrapping
, 11

Securities Act of 1933
, 7

Securities and Exchange Act of 1934
, 1, 7, 286

Securities and Exchange Commission (SEC)
, 286, 288

Security agents
, 307

Security of continuous online auditing
, 136–137

Selective Monitoring and Assessment of Risks and Trends (SMART) Auditing
, 183

Service oriented computing (SOC)
, 304

Siemens
, 3, 11, 59, 253, 268, 273

continuous control monitoring
, 254–261

continuous monitoring of business process controls
, 222–245

Simultaneous Equation Modeling (SEM)
, 265

Small Audit Support (SAS)
, 175

Snapshot approach and systems control and audit review facility (SCARF)
, 179

Software-based agent research
, 302

Special Committee on Assurance Services (SCAS). See Elliot Committee

Specific area of emphasis
, 65–66

longitudinal analysis of research method by
, 67–70

longitudinal analysis of topical area by
, 70–75

SQL
, 179

Standards, formalizing
, 79

Statement on Auditing Procedure (SAP)
, 286

Statement on Auditing Standards (SAS)
, 178, 266, 267

Stochastic opinion
, 38

Supply and demand, for continuous assurance
, 193–196

Supply chain management (SCM)
, 1, 153

System-level support agents
, 306

Systems audit
, 135

Systems Reliability Task Force (CICA/AICPA)
, 129–130

SysTrust
, 152, 160

denomination–system reliability assurance
, 130

Tagging data accuracy
, 209–210

Target
, 37

Taxonomic categories development
, 62–63

Technical architecture, of continuous assurance
, 162–164

Technological feasibility, of continuous online auditing
, 127

Technological process innovation
, 272

Tertiary ‘black box’ monitoring
, 207

Time focus
, 30–31

Time interval
, 32

Time series analysis
, 210–211

Timing of continuous assurance
, 202–203

Timing of testing
, 276–277

Topical area
, 62–65

longitudinal analysis of, by specific area of emphasis
, 70–75

Traditional auditing
, 289

distinguished from continuous auditing
, 273

Transaction evaluation
, 197–199

Transaction verification
, 267

Treasury transactions
, 3

Triple-entry accounting system
, 301

UNIVAC
, 286

Vector Autoregressive Models (VAR)
, 265–266

Verification
, 88

Walker, David
, 269

WebTrust
, 152, 158, 160

Seal assurance service
, 130

Wiener, Norbert
, 302

Wood, Richard
, 130

Wood Committee
, 171

WorldCom disaster
, 289

XBRLGL
, 250