Can Regulation Keep Up with Rapid Changes in Audit Technology?

Summary

Audit and Assurance Information Systems Technology

This study examines the challenges auditors face when auditing information technology (IT)- enabled financial reporting. The authors analyze PCAOB inspection reports from 2019–2024 to identify recurring audit deficiencies related to IT-enabled financial reporting, such as failures to test automated controls, system-generated data, and service organization controls.