ABSTRACT
This chapter discusses the concepts of audit automation and computer-assisted auditing techniques in relation to the efficiency and effectiveness of modern auditing. The use of information technology (IT) in audit tasks has become obligatory given the level of IT integration into business operations and financial accountability and reporting. Wilson and Sangster investigated the main motivations for and constraints upon audit automation on the one hand and the effects of organisations' size and working environments on audit automation on the other. Computer-assisted auditing techniques (CAATs) have been in use for over two decades but the dynamic nature of the business technological environment has caused the continuous introduction of new software programs to cope with the challenges of auditing in such a volatile terrain. CAATs revolve around the use of special software packages in viewing the overall business operations and examining a large volume of files within a very short time.
