This document provides examples of how to use various Computer-Assisted Auditing Techniques (CAATs) functions in Excel for auditing purposes. It describes over 30 different CAATs functions including sorting, filtering, pivot tables, lookups, conditional formatting, and macros. For each function, it provides an example use case and the types of audit assertions it could be used to test such as existence, accuracy, authorization, and completeness. It also describes how to import data from the Tally accounting software into Excel for analysis using CAATs functions.

1. Practical Demo Using CAATs

2. To audit with ease:
Understand the IT environment
IT resources
 Facilities
 Technology
 Applications
 Data
 People
Information Systems
 What is the Information
Architecture of the enterprise
 What is information flow at
different stages?
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3. Basic Excel Functions
useful for audit
3

4. Key CAATs functions in Excel
1. Countif
2. Compare
3. Computation
4. Consolidate
5. Duplicate
6. Extract
7. Import
8. Filter
9. Functions
10. Gaps
11. Group
1. Look up
2. Sampling
3. Sequence
4. Sorting
5. Stratify
6. Sub Total
7. Sumif
8. Pivot Table
9. Query
10.Trace
11. Validity…. 4

5. Sorting is the process of
arranging data in
ascending/ descending
order.
Assertions:
Existence / Occurrence
Example:
Find blank
Sales in the
Amount
column.
Sorting
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6. Filtering data in a
spreadsheet means to set
parameters so that only
certain data is displayed.
Example:
Apply filter to
display
transactions
above a
particular
amount
Filter
Assertions:
Existence / Occurrence
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7. Pivot Table is used to
arrange and summarize
complex data into a table.
Assertions: Cut Off /
Existence / Obligation
Example:
Find the Min.
& Max. sales
price for each
stock item.
Pivot Table
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8. Slicers are easy-to-use filtering
components that contain a set
of buttons that enable you to
quickly filter the data in a
PivotTable report, without the
need to open drop-down lists.
Assertions: Authorisation /
Classification
Example:
After summarizing
data by Customer
Name and
Amount, use Slicer
to filter entries
made by a specific
Employee.
Slicer
8

9. Assertions: Authorisation /
Existence
Example:
Find the
corresponding
Sales Limit for each
Employee from
another sheet.
LOOKUP
LOOKUP looks at a value in one
column, and finds its
corresponding value on the
same row in another column.
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10. Assertions: Accuracy,
Occurrence
Example:
Find duplicate
entries in the
Invoice Number
column.
Conditional Formatting
Conditional Formatting
function highlights the cells
that match the specified
rules.
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11. Assertions: Valuation,
Allocation
Example:
Merge Expenditure
of 2 periods / units
Consolidate
Consolidate function merges
data from different sources
into a single worksheet.
11

12. Assertions: Valuation,
Classification
Example:
Sub Total rows and
columns and hide
them from view, if
required.
Sub-Total
Sub-Total function groups data
in rows & columns, allowing you
to show and hide sections of
your worksheet along with their
sum
12

13. Assertions: Existence,
Accuracy
Example:
Sum up all sales
pertaining to
Salesman 20,000.
IF, COUNTIF, SUMIF, etc.
IF, COUNTIF, SUMIF, etc. are
Excel formulas used to
count, sum, etc. data using
conditions.
13

14. Assertion: Occurrence
Example:
Apply the
WEEKDAY formula
to find Sales made
on a Sunday.
Date and Time functions (WEEKDAY)
Date and Time functions (WEEKDAY)
are formulas that can be used to
display the week number or week
day of the selected date.
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15. Example:
Find sales made of
a specific item or
greater than a
specific amount.
Logical functions (AND, OR & NOT)
Logical functions (AND, OR & NOT)
are Excel formulas that returns
TRUE or FALSE in the current cell
depending on the argument set.
Assertion: Occurrence
15

16. Example:
a) Create Tally
Import Format
b) Print Payslip
/Form16A
c) Check a Query
Macros
An Activity imitated
and Repeated
multiple times
Assertion: Completeness
16

17. USING CAATs
17

18. Key functions and Tests using CAATs
1. Aging
2. Append
3. Attribute
4. Authentication
5. Authorisation
6. Availability
7. Correctness
8. Completeness
9. Compare
10. Computation
11. Compliance
12. Consistency
13. Cut off
14. Duplicate
15. Exceptions
16. Existence
17. Evidence
18. Format
19. Filter/Extract
20. Gaps
21. Identify Changes
22. Limit Check
23. Range Check
24. Reasonableness
25. Sampling
26. Sequence
27. Sorting
28. Stratify
29. Trace
30. Validity…. 18

19. Example:
Find gaps in
Invoice Numbers.
Identify Gaps/ Sequence Check
Gaps/ Sequence Check
detects gaps in a numeric/
date/ alphanumeric
sequence.
Assertions: Occurrence,
Completeness
19

20. Example:
Find duplicate
Invoice Numbers.
Identify Duplicates
Identify Duplicates finds
duplicate values in the
selected columns.
Assertion: Correctness
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21. Example:
Find Sales records
with a specific
Name for a specific
Amount on a
specific Date.
Dynamic Filter
Dynamic Filter is an advanced filter
wherein all the records in the current
sheet are displayed in eCAAT’s result
box and multiple filters and conditions
can be applied on the data at once.
Assertions: Occurrence,
Completeness
21

22. Example:
Extract top 10 sales.
Top/ Last X
Top / Last X is used to
extract the topmost/
bottommost ‘x’ number of
records.
Assertions: Validity, Cut off
22

23. Example:
Classify Cash Book
as per Account
Name and
summarize based
on Amount.
Classify
Classify groups each distinct
value in a character column
and displays sum and count of a
corresponding numeric column.
Assertions: Correctness,
Validity, Accuracy
23

24. Example:
Stratify Sales by
Amount to know
the sum and count
of each strata.
Stratify
Stratify groups data into
bands based on the given
range of numbers, dates
and characters.
Assertions: Correctness,
Validity, Accuracy
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25. Example:
Find sales records
beyond the aging
date.
Aging
Aging is the process of
stratifying a group of
records by age (usually
number of days).
Assertions: Correctness,
Validity, Accuracy
25

26. Example:
Create an index of
all the worksheets
in the current audit
workbook
Index Sheets
Index Sheets creates an
index of all the worksheets
in the current workbook.
Assertion: Correctness,
26

27. Example:
List of employees
who have
exceeded their limits
Authentication Check
Authentication Check compares
two columns of two different
worksheets by applying the
selected condition.
Assertions: Authorisation,
Correctness, Validity
27

28. Example:
Compare two
versions of the
same Trial Balance
to highlight
changes/
differences.
Identify Changes
Identify Changes compares two
worksheets and highlights cells
that have either changed or not
changed as selected.
Assertions: Correctness,
Completeness
28

29. Example:
An input of “123456” would
result in “NNNNNN”.
An input of “abcdef” would
result in “CCCCCC”.
An input of “abc123” would
result in “CCCNNN”.
Identify Format
Identify Format displays the
character format of an input value
or of column values by displaying
‘N’ for numbers and ‘C’ for
characters.
Assertions: Correctness,
Completeness
29

30. Example:
Find Sales made on
a Sunday.
MIS
MIS is the analysis of a date
column by grouping data
based on various periods.
Assertions: Correctness,
Validity, Completeness
30

31. Example:
Randomly pick
records from each
strata in the
population to
sample.
Stratified Sampling
Stratified Random Sampling
randomly picks a specified
number or percentage of
samples from a stratified
population.
Assertions: Correctness,
Validity
31

32. Example:
Join two inventory
worksheets
together based on
item name.
Join Files
Join Files joins two columns of
different worksheets into one
worksheet where values in both
worksheets match.
Assertions: Correctness,
Validity, Completeness
32

33. Example:
Find vendors who
have been entered
in different ways
into the vendor
database.
Fuzzy Match
Fuzzy Match functions
use fuzzy logic to find
similar records.
Assertions: completeness,
Validity, Accuracy
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34. Example:
Same vendor
having different
vendor codes in
the vendor master
file.
Same Same Different
Same Same Different displays
records where the values in one
or more columns is the same but
different in another column.
Assertions: Correctness,
Validity, Completeness
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35. Example:
Split the Purchases
worksheet by Items.
Split Sheet
Split Sheet functions splits the
current worksheet into multiple
worksheets based on the
specified condition.
Assertions: Correctness,
Completeness
35

36. Example:
Find the minimum
number of expenses
that account for 80%
of total expense
value.
Pareto Analysis
Pareto Analysis is based on the “Pareto
principle” or “80/ 20 rule” where it is
assumed that 20% of the items account
for 80% of the total value and the
remaining 80% of the items account for
20% of the total value. In eCAAT, you can
set the Pareto rule to any ratio (80/20,
90/10, 70/30, etc.)
Assertions: Correctness,
Completeness
36

37. Tally & CAAT
37

38. Example:
View statutory info
as per company
creation/configura
tion.
Tally – Masters
Tally – Masters imports
master information of the
current company opened in
Tally into Excel.
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39. Example:
Import all/selected
transactions from
Tally into Excel in a
tabular form.
Tally – Day Book
Tally – Day Book imports the
daybook of the current
company opened in Tally
into Excel.
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40. Example:
Extract different
type of trial
balances into excel
for further analysis.
Tally – Trial Balance
Tally – Trial Balance imports
trail balance of the current
company opened in Tally
into Excel.
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