Issue on Audit

This query is : Resolved

Report Abuse Follow Query Ask a Query

Hitendra K. Agrawal

Hitendra K. Agrawal (Querist)
Follow

21 November 2007 Concept of Audit Trail.

Late CA Sampat Jain

Late CA Sampat Jain (Expert)
Follow

21 November 2007 Business Definition for: audit trail
Dictionary of Accounting Terms
audit trail
recorded flow of a transaction from initiation (e.g., source document) to finalization (e.g., financial statement), or vice versa. The auditor, assuring that data are processed correctly, appraises the material that forms the audit trail. An audit trail may be either visible or invisible (e.g., magnetic storage). Components of an audit trail include: (1) source records, (2) list of transactions processed, and (3) transaction identifiers so that reference can be made to the source of a transaction. An audit trail allows the tracing of transactions to control totals and from the control totals to supporting transactions. An audit trail is good when the tracing process is easy to accomplish.

Dictionary of Finance and Investment Terms
audit trail
step-by-step record by which accounting data can be traced to their source. Questions as to the validity or accuracy of an accounting figure can be resolved by reviewing the sequence of events from which the figure resulted.

Dictionary of Banking Terms
audit trail
chronological record of a transaction, loan, or investment, including credit memos and related documents. Such a record reveals the step-by-step history of a transaction as it flows through the organization, enabling an after-the-fact review to determine the time and place where errors occurred.

See also credit review
Dictionary of Business Terms
audit trail
step-by-step record by which accounting data can be traced to their source. Questions as to the validity or accuracy of an accounting figure can be resolved by reviewing the sequence of events from which the figure resulted.

Dictionary of Computer and Internet Terms
audit trail
a record kept by a computer program that shows how data was entered into the computer. These records are essential for ensuring the reliability of financial data processing systems.

Dictionary of Marketing Terms
audit trail
In general: verifiable evidence of a series of transactions that affect a file record.
Magazines: requirement of the Audit Bureau of Circulations showing, for each paid subscription record, all transactions made against that file record and the backup documents supporting each transaction.