Skip to main content

Analytical Review: Technical Analysis

  • Chapter
  • First Online:
Audit Analytics

Part of the book series: Use R! ((USE R))

  • 103 Accesses

Abstract

Analytical procedures are evaluations of financial information made by a study of plausible relationships between both financial and non-financial data. They are used in all stages of the audit including planning, substantive testing, and final review stage. This chapter surveys a range of R packages that ease technical analysis and data collection tasks in analytical review.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 79.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 99.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Ameen, Elsie C., and Jerry R. Strawser. 1994. Investigating the Use of Analytical Procedures: An Update and Extension. Auditing 13(2): 69.

    Google Scholar 

  • Anderson, John C., Marianne M. Jennings, Steven E. Kaplan, and Philip M.J. Reckers. 1995. The Effect of Using Diagnostic Decision Aids for Analytical Procedures on Judges’ Liability Judgments. Journal of Accounting and Public Policy 14(1): 33–62.

    Article  Google Scholar 

  • Anderson, Urton L., Lisa Koonce, and Garry Marchant. 1994. The Effects of Source-Competence Information and Its Timing on Auditors’ Performance of Analytical Procedures. Auditing 13(1): 137.

    Google Scholar 

  • Asare, Stephan K., and A. Wright. 1997. Hypothesis Revision Strategies in Conducting Analytical Procedures. Accounting, Organizations and Society 22(8): 737–755.

    Article  Google Scholar 

  • Asare, Stephen K., and Arnold M. Wright. 1997. Evaluation of Competing Hypotheses in Auditing. Auditing 16(1): 1.

    Google Scholar 

  • Biggs, Stanley F., Theodore J. Mock, and Paul R. Watkins. 1988. Auditor’s Use of Analytical Review in Audit Program Design. Accounting Review 148–161.

    Google Scholar 

  • Coakley, James R. 1995. Using Pattern Analysis Methods to Supplement Attention Directing Analytical Procedures. Expert Systems with Applications 9(4): 513–528.

    Article  Google Scholar 

  • Coakley, James R., and Carol E. Brown. 1993. Artificial Neural Networks Applied to Ratio Analysis in the Analytical Review Process. Intelligent Systems in Accounting, Finance and Management 2(1): 19–39.

    Article  Google Scholar 

  • Kinney Jr, William R., and Wilfred C. Uecker. 1982. Mitigating the Consequences of Anchoring in Auditor Judgments. Accounting Review 55–69.

    Google Scholar 

  • Kinney, William R. 1979. The Predictive Power of Limited Information in Preliminary Analytical Review: An Empirical Study. Journal of Accounting Research 148–165.

    Google Scholar 

  • Knechel, W. Robert. 1988. The Effectiveness of Statistical Analytical Review as a Substantive Auditing Procedure: A Simulation Analysis. Accounting Review 74–95.

    Google Scholar 

  • Kogan, Alexander, Michael G. Alles, Miklos A. Vasarhelyi, and Jia Wu. 2010. Analytical Procedures for Continuous Data Level Auditing: Continuity Equations 1.

    Google Scholar 

  • Koskivaara, Eija. 2004a. Artificial Neural Networks in Analytical Review Procedures. Managerial Auditing Journal 19(2): 191–223. U.K.: Emerald.

    Google Scholar 

  • ———. 2004b. Visualization of Patterns in Accounting Data with Self-Organizing Maps. Business intelligence techniques, 133–147. New York: Springer.

    Google Scholar 

  • ———. 2006. Integrating Analytical Procedures into the Continuous Audit Environment. JISTEM-Journal of Information Systems and Technology Management 3(3): 331–346.

    Article  Google Scholar 

  • Koskivaara, Eija, and Barbro Back. 2007. Artificial Neural Network Assistant (ANNA) for Continuous Auditing and Monitoring of Financial Data. Journal of Emerging Technologies in Accounting 4(1): 29–45.

    Article  Google Scholar 

  • Libby, Robert. 1985. Availability and the Generation of Hypotheses in Analytical Review. Journal of Accounting Research 648–667.

    Google Scholar 

  • Loebbecke, James K., and Paul J. Steinbart. 1987. An Investigation of the Use of Preliminary Analytical Review to Provide Substantive Audit Evidence. Auditing-a Journal of Practice & Theory 6(2): 74–89.

    Google Scholar 

  • Mueller, Jennifer M., and John C. Anderson. 2002. Decision Aids for Generating Analytical Review Alternatives: The Impact of Goal Framing and Audit-Risk Level. Behavioral Research in Accounting 14(1): 157–177.

    Article  Google Scholar 

  • Nelson, Mark W. 1994. The Learning and Application of Frequency Knowledge in Audit Judgment. Journal of Accounting Literature 13: 185.

    Google Scholar 

  • Stringer, Kenneth W. 1975. A Statistical Technique for Analytical Review. Journal of Accounting Research 1–9.

    Google Scholar 

  • Wilson, Arlette C., and Janet Colbert. 1989. An Analysis of Simple and Rigorous Decision Models as Analytical Procedures. Accounting Horizons 3(4): 79.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to J. Christopher Westland .

Rights and permissions

Reprints and permissions

Copyright information

© 2024 The Author(s), under exclusive license to Springer Nature Switzerland AG

About this chapter

Cite this chapter

Christopher Westland, J. (2024). Analytical Review: Technical Analysis. In: Audit Analytics. Use R!. Springer, Cham. https://doi.org/10.1007/978-3-031-47464-4_5

Download citation

Publish with us

Policies and ethics