Audit Technique

1) Audit technique refers to a METHOD and MEANS adopted by the auditor for collection and evaluation of audit evidence in different situations.
2) Sets of techniques are grouped together in compliance of an audit procedure.
3) Audit technique varies from one situation to another situation. Depending on the Nature of transaction, the audit techniques are selected by the auditor.
4) The following are some of the audit techniques commonly adopted by the auditors.
a) Postings
b) Castings
c) Physical verification
d) Inquiry and confirmation
e) Year end scrutiny
f) Tracing in subsequent periods
g) Bank reconciliation statement.