i. Embedded audit facilities
This module is a CAAT in which code prepared by the auditor is embedded in the client’s software. The code may be designed, for example, to replicate a specific aspect of a control procedure, or to record details of certain transactions in a file accessible only to the auditor. Thus, it may be used as both a test of control or as a substantive procedure. (This CAAT is particularly applicable to continuous auditing.
ii. Integrated test facilities (ITF)
Is a facility forming part of the client’s software that enables the auditor’s test data to be integrated and processed with the client’s live input data. The facility ensures that the test data updates special dummy files, rather than actual operating files. The dummy files are examined to ensure that the test data has been processed in the manner expected. This procedure provides evidence of the effectiveness of design of programmed control procedures as well as aspects of the effectiveness of operation.
