The objective of including audit matters, both key and critical, is to increase transparency and usefulness of the auditor’s report; it requires the auditor to provide more information about complex audit procedures related to material or high-risk accounts on an entity-specific basis. CAMs and KAMs have similar definitions because they have shared objectives — to provide more useful information in the audit report. However, small disparities between the two result in practical variations because of fundamental differences in their approach.

Here, Audit Analytics analyzes the differences, viability and effectiveness of critical and key audit disclosures.