An audit trail is a chronological record of events, procedures, transactions, and other business activities. In the world of accounting, an audit trail can be used to verify detailed transactions related to any accounting record. It will track:
- The type of event
- How the event was performed (a system, application, or specific user
- The event timestamp
How and When is an Audit Trail Used?
An audit trail is typically used by businesses to demonstrate regulatory compliance and the integrity of internal operations. Audit trails are often quite detailed, and require cooperation and close scrutiny from a number of stakeholders throughout the organization, including upper management.
Invoice audit trails
Audit trails for when and where an invoice has been approved can be key in being compliant and having implemented a process for it can make it much easier for your accounting firm when they audit your business. If you use Roger to pay your bills and manage your accounts payable process, you will automatically have a full audit trail to show any accountant or authority that may ask.