An experimental study of auditor analytical review judgements
Document Type
Journal article
Source Publication
Journal of Business Finance and Accounting
Publication Date
9-2000
Volume
27
Issue
7-8
First Page
821
Last Page
857
Keywords
analytical review; auditor analytical review judgement; auditing standards; configural information processing; conversation
Abstract
This paper provides evidence as to how five factors highlighted in the current UK auditing standard are taken into account by auditors in analytical review (AR) judgements. While the relative importance of particular cues was generally found to be consistent with the standard, certain factors were taken into account only to a marginal extent. Little evidence of configural cue usage was identified. The study also provides evidence of a tendency towards conservatism in the way auditors approach AR. The results suggest both that the potential to substitute AR for other substantive procedures may be realised only imperfectly and that the issue of configural reasoning should be addressed in the auditing standard.
DOI
10.1111/1468-5957.00336
Print ISSN
0306686X
E-ISSN
14685957
Publisher Statement
Copyright © Blackwell Publishers Ltd. 2000
Access to external full text or publisher's version may require subscription.
Full-text Version
Publisher’s Version
Language
English
Recommended Citation
Lin, K. Z., Fraser, I. A. M., & Hatherly, D. J. (2000). An experimental study of auditor analytical review judgements. Journal of Business Finance & Accounting, 27(7-8), 821-857. doi: 10.1111/1468-5957.00336