What is the primary purpose of a walkthrough test?

• A. Tracing transaction from start to finish to confirm system operates as documented.
• B. Rechecking the client's documentation for errors if issues arise.
• C. Reperforming controls on samples.
• D. Comparing budgets to actuals.

Answer: (A)

Walkthrough testing focuses on tracing a transaction from its source document through every processing step to the final recording in the financial statements. The goal is to confirm that the system operates as described in the documentation and that the controls at each stage are actually in place and functioning as intended. By following the path of a transaction, you observe how data flows, what authorizations are needed, where checks occur, and what outputs are produced, which helps you identify gaps between the documented procedures and how things work in practice. It’s about understanding the process and the control environment, not just checking documents, reperforming controls on samples, or comparing budgets to actuals.