AICPA/CIMA

Audit Data Analytics Defined

AICPA and CIMA defines Audit Data Analytics as: “The science and art of discovering and analyzing patterns, identifying anomalies and extracting other useful information in data underlying or related to the subject matter of an audit through analysis, modeling and visualization for the purpose of planning or performing the audit.” Simply put, ADAs are techniques that can be used to perform a number of audit procedures:

• Risk assessment
• Tests of details
• Substantive analytical procedures (in forming an overall conclusion) to gather audit evidence.