In order to maximize the effectiveness of the program, spend a few minutes reading over these basic terms:
These procedures are typically used to determine whether a financial statement
contains relationships and items that are unusual, and they vary depending on the kind of client involved and the amount
of financial information under review. These procedures can range from simple, basic comparisons of items to complex
analytical models of relationships. What is common and essential to all analytical procedures is the need for objectivity
in seeking out conclusions regarding the financial statements being reviewed.
These specialized programs perform a variety of audit functions and
can highlight exceptions to categories of data and alert the examiner to possible errors in the data. Audit software often
includes a non-procedural language that lets the auditor describe the computer and data environment without detailed programming.
Audit Software - read more
Financial Analysis is the act of evaluating a company's financial statements in order to understand the
business better. The value of financial analysis is in helping managers understand how the business is doing AND how they
might improve performance. It can also help investors better understand the financial performance of companies in which
they might like to invest.
Financial Analysis - read more
Industry benchmarks are financial metrics / ratios / results which show the average ranges of financial performance
by companies in a given industry.
Industry Benchmarks - read more
Ratio Analysis is the use of a variety of ratios in analyzing the financial performance and condition
of a company.
The term "trend analysis" refers to the concept of collecting information
and attempting to spot a pattern, or trend, in the information.