backOn June 12, 2024, the PCAOB adopted amendments to two PCAOB auditing standards: (1) AS 1105, Audit Evidence; and (2) AS 2301, The Auditor’s Responses to the Risks of Material Misstatement. These standards address aspects of audit procedures that involve technology-assisted analysis of information in electronic form. According to the PCAOB, these changes, which grew out of the Board’s ongoing research project on the use of data and technology, are designed to provide additional detail and clarity around the responsibilities auditors have when performing procedures using technology-assisted analysis.
The PCAOB explained that these amendments should serve to reduce the risk that auditors who use technology-assisted analysis in the audit may issue an opinion without obtaining sufficient appropriate audit evidence. The PCAOB added that the amendments should address some auditors’ reluctance, which the PCAOB has observed, to use technology-assisted analysis under existing standards. A link to the PCAOB’s announcement and adopted amendments can be found here.