1 Accounts are usually kept up to date.

2 Errors and frauds are discovered at an early stage.

3 The auditor gathers sufficient knowledge of the business as a result of his frequent visits.

4 Saves time during final audits.

5 Better report is developed, as time spent is more.


1. It is expensive to have a continuos audit due to the amount of time spent.

2. Frequent disruptions of the clients work during the audit.

3. The auditor’s independence may be adversely affected by the continuous presence at the clients premises.

4. Tendencies to over depend on auditing staff to solve accounting problems.

5. Interference of work, which has already been audited by the client’s staff.