Month End Glossary

Analytical Review

Analytical Review refers to the process of analyzing financial data by examining its relationship with other financial and operational data to identify any deviations, trends, or irregularities.

Analytical Review is a key procedure commonly used in auditing and financial review processes to understand the financial position and performance of a company. It involves scrutinizing financial data trends, ratios, and relationships to identify areas that might require further investigation or to confirm normal operations. For example, an auditor might use an analytical review to compare a company's revenue trends to industry benchmarks or its expenses to prior periods to detect any inconsistencies.

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