MEMO
Date: jan. 16, 2015
Subject: Computer Processing of Accounting Transactions

The planning of our audit can be greatly influenced by the computer processing of accounting transactions. Some major factors of Apollo computer system that could change the planning in our audit are: complexity of computerized operations- An auditor must factor the software used to process the data of the company. The amount of hardware used by a company could be an indicator as to the complexity of the computer system being utilized. While a company’s system should be examined for complexity an audit team should also look into the computer systems of any outsourced accounting work. organizational structure of computerized processing- The way a computer system is organized or put together can vary from a uniform centralized system to a sparse varying system. The centralized system could allow for easier of understanding one system but could lack in the ability to process different types of data. A sparse varying system could prove difficult to ensure all variations work together in harmony but such a system could tailor fit the computer system to the data to be processed. availability of data- Can change planning in two ways. First with the increasing use of computerized systems could lead to having fewer documents to review for input errors. The lack of supporting documentation could lead to various issues. Second computer systems allow for the availability of vast amount of information readily available with just a few strokes of the keyboard. need for specialized skills- All the complexity, structure and data