Generalized Audit Software

3188 WordsAug 14, 201313 Pages
Because the author's experience and knowledge of GAS is primarily limited to ACL, that is the software used to demonstrate the value of implementing GAS in this article. For more software products, see the exhibit in the Bagranoff and Henry article, cited in footnote 3, and the list of GAS in the Sayana article, cited in footnote 1. Experts say that generalized audit software (GAS) is the most common computer-assisted audit tool (CAAT) used in recent years. There are many reasons today for IT auditors to use a GAS, but to quote an article from this Journal, "Performing audits without using information technology is hardly an option."1 This article will inform IT auditors of the profitable return on learning and using GAS. A number of…show more content…
The ACL commands are effective in a variety of applications other than the obvious. For example, the AGE command is obviously useful in generating an aged trail balance. However, it is really a measure between dates, so it could be used to do other antifraud procedures. For example, it can send confirmations to credit card users for a recent charge where the card had been inactive for a certain number of months (six or 12 or whatever is appropriate) or be used in conjunction with the CLASSIFY command to measure the number of days between receipt of invoices and payment of invoices by vendor (in shell company, pass-through vendors and other fraudulent disbursement schemes, the fraudster tends to make sure the phony invoices are paid quicker than normal invoices). Another example is the CLASSIFY command itself. It is normally used to subtotal amounts and the number of invoices for vendors or some similar application on other data files. However, one could use CLASSIFY to examine the number of credit memos by authorizing party or key-punch personnel. Because credit memos are a relatively common method of concealing a fraud, if a fraud is being perpetrated and the fraudster is using credit memos to hide the fraud, that person has an inordinate number of credit memos compared to everyone else. This anomaly would be evident by running CLASSIFY on a credit memo file. The possibilities are limited only by the IT auditor's imagination. Additionally, ACL
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