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CMA Intermediate · Corporate Accounting and Auditing · Application of Technology in Audit and Audit Trail

Which of the following is an example of the type of information that an audit trail (edit log) would normally capture for a change made to an accounting entry?

An audit trail captures the user ID of the person making a change along with the date and time and the data altered. This supports traceability and accountability. Expected profits, share prices and director names are not recorded as edit log details of an entry change.

  1. AThe expected future profit of the company
  2. BThe user ID of the person who made the change and the date and time of the changeCorrect
  3. CThe market price of the company's shares on the day of the change
  4. DThe names of the company's independent directors

Explanation

An edit log records details of the change, such as the user ID, date and time stamp, and the data altered, enabling traceability. Expected profit, share price and board composition are not details of an entry change and would not be captured as audit trail information.

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