ExpertHard1 markMultiple Choice
CPA · Question 54 · Area III: Procedures
An auditor is using 'generalized audit software' (GAS) to extract data from a client's system. Which of the following is the primary advantage of using GAS?
An auditor is using 'generalized audit software' (GAS) to extract data from a client's system. Which of the following is the primary advantage of using GAS?
Answer options:
A.
It eliminates the need for professional skepticism.
B.
It allows the auditor to access and test 100% of the population independently of the client's IT staff.
C.
It replaces the need for understanding internal controls.
D.
It guarantees the detection of all fraud.
How to approach this question
GAS benefits: Independence (don't need client to run reports) and Volume (can test everything).
Full Answer
B.It allows the auditor to access and test 100% of the population independently of the client's IT staff.✓ Correct
Generalized Audit Software (GAS) enables the auditor to access client data directly and perform tests (like recalculations, stratifications, or gap detection) on 100% of the population, rather than a sample. It also reduces reliance on client staff to generate reports, enhancing independence.
Common mistakes
Thinking software replaces judgment or control understanding.
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