Effect of computer on audit

Computerization has progressed to a point where entire processing cycle

occurs with in the computer system the tradition audit trail has disappeared no
corresponding documents are available thus it is necessary to examine to
internal working of the computer system the auditor can use the computer it
self a an audit tool to improve quality of this audit and reduce time spent on
detailed wrification of transaction

The two basic function of auditing are:-

1 evidence collection 2 evidance
evaluation

1. Evidence collection-;
basically the evidence collection means printout interview , notes and whole
varity o f audit working paper it consists of

(a)Data relivation and storage enviormental source

documents computer fills and other evidential matter that may require by the
auditor may exist only for the short period data is generally stored in to binary
for on magnetir types