ACCA AA · Chapter 10 · Question 6 of 10
What is 'test data' as a computer-assisted audit technique?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Dummy transactions processed through the client's system to check that programmed controls operate as expected
Explanation
Test data involves entering data, including deliberately invalid items, into the client's system and comparing the results with expected outcomes; it is mainly used to test application controls. Audit software, by contrast, interrogates the client's data files to perform substantive work such as recalculations and exception reports.
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