Question

Which of the following IS NOT one of the five steps to follow when planning, performing, and evaluating results from audit data analytics (ADA)?

1) Evaluate the fraud risks
2) Perform the ADA
3) Access and prepare the data
4) Consider the relevance and reliability of the data used

Answer 1

Option 1) Evaluating the fraud risks is not one of the five steps to follow when planning, performing, and evaluating results from ADA; this step is part of the overall audit process but is not a discrete step in the ADA process. The correct option is 1) Evaluate the fraud risks

Step-by-step explanation:

The correct answer to the question - 'Which of the following IS NOT one of the five steps to follow when planning, performing, and evaluating results from audit data analytics (ADA)?' is option 1) Evaluate the fraud risks. When auditors plan, perform, and evaluate results from audit data analytics, they typically follow a set process that does not initially involve evaluating fraud risks as a separate step. The generally accepted steps are:

1. Define the objectives of the ADA.
2. Access and prepare the data.
3. Perform the ADA.
4. Analyze and evaluate the results.
5. Consider the relevance and reliability of the data used.

While fraud risk evaluation is an integral part of the overall audit process, it is not one of the discrete steps within the ADA process specifically. The correct option is 1) Evaluate the fraud risks