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How does the auditor use computer-assisted audit techniques (CAATs) / data analytics?

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CAATs and data analytics let the auditor test entire populations rather than samples—recomputing figures, matching records (e.g., three-way matching), identifying duplicates or gaps, testing all journal entries for anomalies, and analyzing trends. They improve coverage and can pinpoint outliers/high-risk items for focused testing, especially useful for large data volumes and fraud risk.
Real-world example The team runs analytics on 100% of journal entries to flag unusual round-number or after-hours postings for review.

Common follow-ups: What advantage does full-population testing give? | How do analytics help detect fraud?

Analytical Procedures Fraud & Error Responsibilities Audit Evidence & Procedures
All 18 Audit Evidence & Procedures questions