What is the difference between Audit Data Analytics (ADAs) and Computer Assisted Audit Techniques (CAATs)?

Question

BlackTom AI · Accepted Answer

The question asks about the difference between Audit Data Analytics (ADAs) and Computer Assisted Audit Techniques (CAATs).
Option 1: 'ADAs is an American term, whereas Canadians prefer CAATs.' This claim is not accurate; both terms are used internationally in the auditing profession, and language or national preference does not define the concepts.
Option 2: 'ADAs are required by CPA Canada, whereas CAATs are only recommended.' There is no standard requirement that ADAs be mandated by CPA Canada, nor any rule that CAATs are merely recommendations; both relate to analytics and computer-assisted techniques used in audits, with variations in implementation rather than official status.
Option 3: 'ADAs provide definitive conclusions, whereas CAATs only suggest outcomes.' This mischaracterizes how both tools function; analytics and CAATs support evidence gathering and testing but do not by themselves guarantee definitive conclusions without judgment and context from the auditor.
Option 4: 'ADAs include CAATs, but the term is more popularly used to include more powerful and sophisticated techniques.' This statement aligns with the general understanding that ADAs are a broader category that encompasses CAATs, while often implying a broader or more advanced set of analytical methods beyond traditional CAAT capabilities.
In weighing the descriptions, the fourth option most accurately captures the relationship between ADAs and CAATs, distinguishing a general umbrella term from a subset of techniques. The other options introduce inaccurate distinctions about geography, regulatory requirements, or the nature of conclusions versus outputs.

BUSI_V 335 101 102 2025W1 Module 7 Quiz - Pivot Tables and Audit Data Analytics

What is the difference between Audit Data Analytics (ADAs) and Computer Assisted Audit Techniques (CAATs)?

查看解析

登录即可查看完整答案

类似问题

In this new world of audit data analytics, it is important to Blank ______.

Only one of the following statements is true. Which one?

Which of the following are potential benefits of using Audit Data Analytics? Pick all that apply.

Audit data analytics are particularly useful at the risk assessment stage of an audit, but should not be used to identify exceptions for further examination during substantive testing.

Practicing CPAs are required to follow the five-step process published by CPA Canada in its Guide to Audit Data Analytics.

Only one of the following statements is true. Which one?

Which of the following techniques are potentially useful when performing ADAs during an audit? Select all that apply.

更多留学生实用工具

考试浏览器助手

风格化写作助手

论文查重助手

文献引用助手

课堂转译助手

课堂笔记助手

Quiz搜索助手

学校历年真题

智能刷题助手

智能匹配练习

希望你的学习变得更简单