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Continuous Auditing: Is It Necessary in Todays Accounting World? Free Essay, Term Paper and Book Report

Due to the increase in the number of cases of corporate fraud, strict internal controls are important to help control this problem. Continuous auditing is an important concept that has been a part of several large companies for many years. The process involves applying the necessary tools to monitor the financial and non-financial data. This insures that the internal controls are in place to prevent error and fraud. With continuous auditing, any controls that fail are detected and acted upon as soon as the event occurs. This process is performed on a real-time basis and analyzed periodically. This report explains some of the advantages of continuous auditing and will be useful for companies interested in implementing this system. Introduction Continuous auditing is an important concept that has been a part of several large companies for many years. Continuous auditing is defined as "a methodology that enables the auditor to provide assurance on a subject matter simultaneously with, or very shortly after, the occurrence of events underlying the subject matter" (Hui &......

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