Advantages and disadvantages of a continuous audit, Auditing

Advantages and Disadvantages of a Continuous Audit


  • The regular or continual attendance of the auditor might act as a deterrent to scam;
  • Weaknesses in the client's systems are observed earlier and, when they exist, errors and scam might be discovered more rapidly;
  • It is at times possible to begin the balance sheet work prior to the year end. This will lead to swifter financial reporting;
  • The auditor's work is broadening more evenly all through the year. This will aid to relieve the pressures on staff that occur for many audit firms throughout the first few months of each year.



  • Audit staff who expends much of their time functioning on one client might find their independence adversely exaggerated;
  • The auditor's common (and at times unexpected) visits might cause trouble to the client;
  • It is possible that figures might be transformed (naively or illegally) after they have been confirmed;
  • It might be found that outstanding points and enquiries raised at one visit are forgotten and not pursued up at a later phase. Strict control is required to make sure that this does not occur mainly where the staffs allocated to the audit have transformed.


Posted Date: 12/3/2012 4:49:31 AM | Location : United States

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