Scheduled Audits and Continuous Audits
Scheduled audits are identified during the annual risk assessment process and noted in the annual audit plan. Audits are performed for a defined period of time and testing of controls is related to the time period of the audit.
Continuous audits provide regular testing of controls and risks and result in timely notification of gaps and weaknesses to allow immediate follow-up and remediation.
Benefits of the continuous audit process are noted below.
Increased ability to mitigate risks.
Reductions in the cost of assessing internal controls.
Increased confidence in financial results.
Improvements to financial operations.
Reductions in financial errors and the potential for fraud.