Question

One of the advantages of generalized audit software is that:

1) it involves auditing after the entity has processed the data rather than while the data are being processed.
2) it provides a limited ability to verify programming logic because its application is usually directed to testing entity files or databases.
3) it is limited to audit procedures that can be conducted on data available in electronic form.
4) limited IT expertise or programming skills are required.

Answer 1

The advantages of generalized audit software include the ability to audit after data processing, limited verification of programming logic, and not requiring extensive IT expertise.

Step-by-step explanation:

Generalized audit software has several advantages. One of them is that it allows for auditing after the entity has processed the data rather than while the data are being processed, which can make the process more efficient. Additionally, it provides a limited ability to verify programming logic because it is typically used for testing entity files or databases, which can help identify any errors or issues.

Another advantage is that limited IT expertise or programming skills are required to use this software, making it more accessible for auditors. One of the advantages of generalized audit software is that limited IT expertise or programming skills are required.

This kind of software is highly adaptable, which makes it suitable for a range of audit tasks, from simple to complex ones. This powerful tool can be easy to interpret and communicate, allowing auditors to perform efficient audits on large-scale processes without deep technical knowledge of the systems they are auditing.