Abdel-Aziz M. Mohamed
Operations Research Applications in Audit Planning and Scheduling
2056 - 2064
2015
9
6
International Journal of Economics and Management Engineering
https://publications.waset.org/pdf/10002029
https://publications.waset.org/vol/102
World Academy of Science, Engineering and Technology
This paper presents a stateoftheart survey of the
operations research models developed for internal audit planning.
Two alternative approaches have been followed in the literature for
audit planning (1) identifying the optimal audit frequency; and (2)
determining the optimal audit resource allocation. The first approach
identifies the elapsed time between two successive audits, which can
be presented as the optimal number of audits in a given planning
horizon, or the optimal number of transactions after which an audit
should be performed. It also includes the optimal audit schedule. The
second approach determines the optimal allocation of audit frequency
among all auditable units in the firm. In our review, we discuss both
the deterministic and probabilistic models developed for audit
planning. In addition, game theory models are reviewed to find the
optimal auditing strategy based on the interactions between the
auditors and the clients.
Open Science Index 102, 2015