What does dual-purpose test mean on the CPA exam?
Dual-purpose test. One procedure that tests a control and substantively tests the transaction at the same time, on the same sample.
Defined against AU-C 330.A23.
Which CPA exam sections use dual-purpose test?
Dual-purpose test appears in the AUD section of the CPA exam.
Other terms defined against AU-C 330
- further audit procedures: The work done in response to assessed risk: tests of controls and substantive procedures.
- nature, timing, and extent: The three dials on any audit procedure: what kind of test, when it is run, and how much of the population it covers.
- operating effectiveness: Whether a control actually worked across the period, as opposed to whether it was well designed.
- selecting specific items: Choosing particular items to examine because of what they are, such as large or unusual ones, rather than at random.
- substantive procedures: Work aimed directly at detecting misstatement in a balance or disclosure, as opposed to testing whether a control operated.
- tests of controls: Procedures that check whether a control actually operated as described throughout the period.
- tests of details: Substantive procedures aimed at individual transactions, balances or disclosures, rather than at the relationships between numbers that analytical procedures examine.
Related terms
- penetration test: An authorized simulated attack that tries to actually exploit weaknesses, as opposed to a vulnerability scan, which only lists what might be exploitable.