The client's computerized exception reporting system helps audit teams conduct a more efficient audit because it
A) Condenses data significantly.
B) Highlights abnormal conditions.
C) Decreases the necessary level of tests of computer controls.
D) Is an efficient computer input control.

Question

Quizplus · Accepted Answer

The client's computerized exception reporting system highlights abnormal conditions, which allows audit teams to focus on those areas that have a higher likelihood of potential errors or exceptions. This helps to conduct a more efficient audit by saving time and resources. While the system may also condense data, decrease the necessary level of tests of computer controls, or serve as an input control, neither of these options is as directly related to helping the audit team conduct a more efficient audit as the system's ability to highlight abnormal conditions.

The Client's Computerized Exception Reporting System Helps Audit Teams Conduct