Synopses & Reviews
Synopsis
Auditmetrics software has the ability to plugin data from QuickBooks(R) standard reports.
All business can profit from conducting internal statistical audits of their accounts and customers. It is always wise to monitor the life blood of a business in more depth than can be derived from general accounting reports. The new wrinkle in the business world is that the Supreme Court decision means web sales can be subject to audits potentially from 47 different states. There are also around 300 local sales tax authorities. The old law upended was that internet sales were exempt if you did not have a physical presence in particular state.
The Auditmetrics software included with this book is a product of the trend of states to use statistical methods in auditing for sales tax. Auditmetrics originally wrote the software to audit medical insurance claims and assess health care data. It has a natural fit with sales tax audits. Auditmetrics had an advantage in implementing its software for the Massachusetts Department of Revenue Audit Division. The Commonwealth has no specific law for thestatistical audit other than a simple statement that statistical audits must conform to IRS standards. This gave Auditmetrics the leeway to build a streamlined audit process which is now in use by Mass DOR auditors.
Auditmetrics wrote the software to help prepare small business in doing their own internal audits before the state comes in, draws a random sample and hands out a bill for taxes due. Many large corporations have the resources to conform to the new rules but for many small business it can be a potential barrier to entering internet commerce. An analytic view of accounts can help keep managers aware of current cost and revenue dynamics in light of potential external factors such as state and local audits.
Many states have their nuance for the statistical audit but Auditmetrics adheres to IRS and American Institute of Certified Public Accountants standards. Auditmetrics book and software are designed for individuals who have minimal knowledge of statistical theory. It is user friendly such that one can traverse the complexity of statistical sample selection in a three step process. Each step has a series of analytic checks that are documented using Excel spreadsheets. If one of the checks is not met, the user is alerted to make proper adjustments. There is an AI design feature the user can employ for obtaining a final random sample but with ample opportunity to fine tune the final product.
AUDITMETRICS MUST BE CONTACTED FOR SOFTWARE INSTALLATION NOT AMAZON.
The included software is the small business version with no license fees. It has the same functionality as Professional v6.2. THE ONLY DIFFERENCE IS FILE SIZE LIMITATIONS AND FORENSIC ACCOUNTING FEATURES. MS Windows and Office is a requirement.
The book is ideal for business academic programs with the first half (Part I) being a discussion of the statistical principles that apply to the audit. If selected by an academic institution the instructor will be provided slides that can be downloaded. They have been used by Auditmetrics for auditor in-service training. The instructor must have an e-mail address with the appropriate academic designation. A chamber of commerce continuing education program can also obtain the education resources.
Part II of the book is written with the view that the world does not need just another book about statistics and accounting. Many practitioner guides and statistics made easy type texts do help inform but the practitioner also needs a quick and easy path to actual workplace implementation. Auditmetrics has always had the goal to develop specifically tailored software and education materials so a student can quickly go from class to real world implementation.
Synopsis
New - hard cover book contains overview with exhibits of all three books in the small business seriesAll business can profit from conducting internal audits of their accounts to monitor cash flow. It is always wise to use statistical analytics to monitor the life blood of a business in more depth than can be derived from general accounting reports. Operating cash flow (OCF), a measure of the amount of cash generated by a company's normal business operations, is of paramount importance for small business. The traditional use of the cashflow audit is for verification of business documentation and a measurement of overall economic health. Statistical analytics can be used as a powerful tool to shape future operations, especially with software specifically designed to sample for cash flow.
To many frontline business managers, audits are tedious and time consuming, time better spent selling. The importance of regular auditing and cash flow monitoring cannot be overstated. A good audit is not only able to clear a company's cash flow issues quickly, but is the beginning of a process of using statistical analytics to forecast future trends with the goal to plan appropriate strategies. This book is the first of a "Small Business Power Series". Once a sample is derived, two follow-up books, "Forecasting Revenue and Expenses for Small Business" and "Market Research for Small Business", guides the business manager on how to use Excel statistical tools to conduct sophisticated statistical analysis.
What is needed is a way to make inroads on the complaint that the statistical sampling process is too time consuming. Using random samples allows the business manager to deal with small workable subsets of account data representative of the total book. The Auditmetrics Software included with this book generates a sample that meets all statistical analytic standards. It was originally developed for the Massachusetts Department of Revenue, Audit Division, for sales tax audits. Commonwealth of Massachusetts State law mandates statistical audits must conform with national IRS standards for the statistical audit.
The primary time saver is the Auditmetrics AI assistance feature that makes it possible to rapidly sample an account. As in polling, the business manager sets a margin of error and the system guides the process to the final sample. Included with the random sample is spreadsheet documentation of the validity of the sample and a working spreadsheet to record results. All spreadsheets are generated by the software. The process is like hooking up a monitoring system. Once a sample is derived, what is left to do is the analytic work with the aid of the "Power Series" books.
The included software is the learning small business version with no license fees. It has the same functionality as Professional v6.2 that has been certified by Microsoft for the Universal Windows Platform (UWP). The only difference between Small Business V6.2 and Professional V6.2 are file size limitations and some forensic accounting features. MS Windows and MS Excel is a requirement with MS Access as a recommendation.
Synopsis
This book is
Book #1 in the Small Business Power Series which sets the stage by being a resource in the use of methods to sample accounts to conduct statistical audits It was originally developed to get auditors to get quickly up to speed in implementing Computer Assisted Audit Techniques (CAATs) .
All three series books are guides in learning the analytics of the Auditmetrics AI business system. The included software has file size and feature limitations. It should be fine for small businesses with 10 employees or less. For larger businesses, the full features of Auditmetrics AI Professional would be required with its ability to sample up to millions of account records.
All books and software are ideally suited for small businesses that operate on desktop and laptop computers. They assist in competing in an evolving technology driven business environment that favors analytics. Our economy is on a high tech commercial revolution where huge business entities marshal vast sophisticated programming to correct past deficiencies and search for potential opportunities. Auditmetrics helps the smaller enterprise survive by providing a level analytical playing field. It is designed as a complete resource for business analytic methods and technology.
To get an overview of the operation of the AI Assistance System and Small Business Power Book Series, select the trailer link below:
https: //auditmetrics.com/app_data/trailer2.mp4
For help to set up book/software combination: [email protected]
This book covers the monitoring of cashflow. Operating cash flow (OCF), a measure of the amount of cash generated by a company's normal business operations is of paramount importance for all businesses. The traditional use of the cashflow audit is for verification of business documentation and a measurement of overall economic health. With the use of statistical analytics, cashflow can also be used as a powerful tool to shape future operations.
The trend of employing statistical analytics in making business decisions was given impetus when many state revenue departments began to implement Computer Assisted Audit Techniques (CAATs) in conducting sales and use tax audits. This technique quickly expedites audits to save time and resources. CAATs efficiency is only possible with the use of statistical analytics. This book uses as a guide the statistical audit guidelines as promulgated by the American Institute of Certified Public Accountants (AICPA) and the published directives of the U. S. Internal Revenue Service. The same principles and data for the audit are then the basis for forecasting and market research.
Statistical analytics can involve complex procedures. Many business managers complain that building business analytics with any degree of accuracy can take a lot of time. Time that may be better spent selling rather than trying to master complex procedures. The AI assistance of Auditmetrics V6.5 was specifically designed to ease small business managers into the development of their analytic capabilities. Knowledge imparted by this book is valuable in itself but it is Auditmetrics AI assistance that makes it practical to keep pace with the growing use of technology and analytics to increase business profitability.
However the statistical audit discussed in this book is not an end in itself. With the other two books in the series: "Forecasting Revenue and Expenses for Small Business" and "Market Research for Small Business". Each book outlines a practical way to use statistical analytics to solve administrative and marketing issues needed to survive in a competitive environment.
There's an old axiom in science and business, "If you can measure it, you can control it". That is the foundation for this book and the books that follow.