CH 2 Data Analytics
How do auditors use data analytics to improve audit quality? - ✔✔ correct answer By more
accurately assessing risk and selecting better substantive procedures and tests of controls.
The ______ model may be used to implement Data Analytics in the internal audit. - ✔✔ correct
answer IMPACT
T/F: There has been a shift of simply providing reasonable assurance on the processes to the
additional assurance of the robots that are performing a lot of the menial audit work. - ✔✔ correct
answer TRUE
According to the textbook, the innovations in Data Analytics for Accounting have originated most
often from which accounting department in a company?
Controller
Tax Department
Cost Accounting
Internal Auditing - ✔✔ correct answer Internal Auditing
Firms that have data from SAP for its supply chain and purchasing, PeopleSoft for its payroll and HR
functions, and Oracle for its financial reporting are an example of the use of ______.
homogeneous systems
heterogeneous systems - ✔✔ correct answer heterogeneous systems
What standard was developed by the AICPA to share data between the external auditors and internal
accounting department to perform routine audit tasks?
Audit Data Standards
XBRL Standards
Auditing Data Submission Standards
XML Standards - ✔✔ correct answer Audit Data Standards
The IMPACT cycle helps businesses ______.
, CH 2 Data Analytics
capture structured data
embrace automation
perform meaningful analysis - ✔✔ correct answer perform meaningful analysis
The audit data standards include all of the following EXCEPT
.
General journal standard
Subledger standards
Base standard
General ledger standard - ✔✔ correct answer General journal standard
Name the Audit Data Standards - ✔✔ correct answer Base
General Ledger
Order to Cash Subledger
Inventory Subledger
Fixed Assets Subledger
The auditors' role is to make sure appropriate _________ are used and that the output corresponds
with management's assertions. - ✔✔ correct answer analytics
(whether a dashboard, notification of exceptions, or accuracy of predictive models)
The audit plan element that the audit team will execute to collect and analyze evidence is called
______.
scope
potential risk
audit methodology
procedures and tasks
formal evaluation - ✔✔ correct answer procedures and tasks
How do auditors use data analytics to improve audit quality? - ✔✔ correct answer By more
accurately assessing risk and selecting better substantive procedures and tests of controls.
The ______ model may be used to implement Data Analytics in the internal audit. - ✔✔ correct
answer IMPACT
T/F: There has been a shift of simply providing reasonable assurance on the processes to the
additional assurance of the robots that are performing a lot of the menial audit work. - ✔✔ correct
answer TRUE
According to the textbook, the innovations in Data Analytics for Accounting have originated most
often from which accounting department in a company?
Controller
Tax Department
Cost Accounting
Internal Auditing - ✔✔ correct answer Internal Auditing
Firms that have data from SAP for its supply chain and purchasing, PeopleSoft for its payroll and HR
functions, and Oracle for its financial reporting are an example of the use of ______.
homogeneous systems
heterogeneous systems - ✔✔ correct answer heterogeneous systems
What standard was developed by the AICPA to share data between the external auditors and internal
accounting department to perform routine audit tasks?
Audit Data Standards
XBRL Standards
Auditing Data Submission Standards
XML Standards - ✔✔ correct answer Audit Data Standards
The IMPACT cycle helps businesses ______.
, CH 2 Data Analytics
capture structured data
embrace automation
perform meaningful analysis - ✔✔ correct answer perform meaningful analysis
The audit data standards include all of the following EXCEPT
.
General journal standard
Subledger standards
Base standard
General ledger standard - ✔✔ correct answer General journal standard
Name the Audit Data Standards - ✔✔ correct answer Base
General Ledger
Order to Cash Subledger
Inventory Subledger
Fixed Assets Subledger
The auditors' role is to make sure appropriate _________ are used and that the output corresponds
with management's assertions. - ✔✔ correct answer analytics
(whether a dashboard, notification of exceptions, or accuracy of predictive models)
The audit plan element that the audit team will execute to collect and analyze evidence is called
______.
scope
potential risk
audit methodology
procedures and tasks
formal evaluation - ✔✔ correct answer procedures and tasks
