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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AAA Exams › What is the difference between TRANSACTION CYCLE APPROACH and Directional Testin
What is the difference between TRANSACTION CYCLE APPROACH and Directional Testing Approach?
Hi Abdul
Directional testing works on the basis that if you check all the debits then, following double entry principles, all the credits must be ok
Transaction cycle approach works on the basis that the processing of every transaction is sub-divisible into discrete stages, but the accumulation of these stages results in the proper recording of that transaction
Is that enough?
Thanks mike.
You’re welcome
