AI Audit Procedures for Auditors

Test 100% of transactions instead of samples. Get complete audit trails. Reduce fieldwork time by 40%.

Start Free → Book a Demo

100%

Transaction Coverage

40%

Less Fieldwork

1-Click

Audit Evidence

The Sampling Problem

Statistical sampling is a compromise we accept because testing everything is impractical. But what if you could test 100%?

❌ Traditional Audit Sampling

• Sample 25-50 transactions per account
• Coverage: 0.1-1% of total transactions
• Extrapolate results to entire population
• Risk: Fraud outside your sample
• Client provides selected vouchers (selection bias)
• Documentation requests take days/weeks

✅ With AI Testing

• Test 100% of transactions automatically
• Coverage: 100% population
• No extrapolation needed - actual results
• Fraud can't hide outside sample
• AI already matched all vouchers
• Complete audit trail available instantly

What changes: Instead of "we tested 25 transactions and found no exceptions," you say "we tested all 12,847 transactions and found 3 exceptions." Higher confidence, better audit quality.

How External Auditors Use TieStream

📋

Planning Phase

Review client's continuous testing results before arriving on-site. Identify high-risk areas. Scope fieldwork more efficiently.

✓ See year-to-date exceptions
✓ Risk assessment from real data
✓ Focus on material items

🔍

Fieldwork Phase

Instead of requesting vouchers, review the AI's testing results. Drill into exceptions. Verify supporting docs already attached.

✓ No PBC list for routine tests
✓ All vouchers pre-matched
✓ Focus on unusual items

📝

Documentation Phase

Export complete test results to your audit software. Full population testing documented automatically.

✓ Export to CaseWare/Excel
✓ Complete audit trail
✓ Reviewer-ready work papers

Audit Procedures You Can Rely On

🏦 Bank Reconciliation Testing

Verify client's bank recs are complete and accurate. Test 100% of GL-to-bank matches. Identify unrecorded items.

Replaces: Bank confirmation + reconciliation testing

💰 Revenue Vouching (ASC 606)

Test 100% of revenue for existence and accuracy. Match to invoices, delivery confirmations, and contracts. Rev rec compliance.

Replaces: Revenue sampling and vouching

📋 AP Three-Way Matching

Test 100% of AP for validity. Match PO → Receipt → Invoice → Payment. Detect duplicate payments and vendor fraud.

Replaces: AP sampling and vendor confirmations

💳 Expense Compliance Testing

Test 100% of expenses for policy compliance. Flag unauthorized spend, personal expenses, duplicate receipts.

Replaces: Expense report sampling

🔄 Intercompany Reconciliations

Test 100% of IC transactions across all entities. Verify elimination entries. Catch timing differences before consolidation.

Replaces: IC confirmation testing

🏢 Fixed Asset Verification

Test 100% of asset additions for existence. Verify disposal documentation. Depreciation calculations. Physical existence.

Replaces: Fixed asset sampling

Better Audits, Less Time

For Audit Quality

✓100% population coverage - no sampling risk
✓Complete audit trail - all evidence attached
✓Continuous testing - catch issues year-round
✓No selection bias - automated testing
✓Better fraud detection - anomalies can't hide

For Audit Efficiency

✓40% less fieldwork time - routine tests done
✓No PBC delays - evidence already organized
✓Focus on risk areas - routine work automated
✓Junior staff time reduced - fewer samples to test
✓Better margins - same quality, less hours

Audit Manager, Big 4 Firm

Technology sector clients

"We used to spend 3 days on-site doing bank recs, revenue vouching, and AP testing. Now the AI does that before we arrive. We focus on unusual transactions, management estimates, and business risks. Same audit quality, 40% less fieldwork hours."

40%

Time savings

100%

Transaction coverage

PBC delays

Ready to Test 100% of Transactions?

See how auditors are improving quality and reducing fieldwork with AI audit procedures.

Start Free Trial → Book a Demo