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What is a risk score?

Article author
Jonathon Plowman-Samson
  • Updated

Summary

A risk score is an aggregate score that combines multiple control point results together. Risk scores are applied to an entry or transaction, in the same way that individual control point scores are.

By combining multiple control point results together, stronger statements emerge about an entry or transaction. Most entries in a ledger will trigger one control point or another. When a single entry triggers numerous rules-based control points and is detected as anomalous by multiple machine learning control points though, this entry is almost certainly worthy of notice.

High risk scores indicate that several related control points have triggered on the same entry, which means a higher chance that an entry is worth sampling or a higher chance that an audit assertion was violated.


Configuration details

App Admins can now go to their library settings to select how risk score results will be displayed across all analyses within a library.

Risk can be displayed with:

  • A percent (%) score, or
  • High, medium, and low labels

Note: 


Risk scores in the GL

General ledger analyses contain the MindBridge score, which is a collection of all control point scores for a given entry and transaction. This analysis also includes the following 15 assertion risk scores which are tailored to the account type:

Asset assertion risk scores

  • Completeness score
  • Existence score
  • Presentation score
  • Rights and obligations score
  • Valuation score

Liabilities and equity assertion risk scores

  • Completeness score
  • Existence score
  • Presentation score
  • Rights and obligations score
  • Valuation score

Profit and loss assertion risk scores

  • Accuracy score
  • Classification score
  • Completeness score
  • Cut-off score
  • Occurrence score


Risk scores in AP and AR subledgers

AP and AR subledger analyses contain the MindBridge score, which is an aggregate total of all control point scores for a given entry. These subledger analyses also contain 4 targeted risk assertion scores, relating to the following assertions:

Each of these scores is a collection of control point results that subject matter experts found to be applicable to the assertion. Visit the articles for each of the assertions (linked above) to see details about which control points are included in each of these risk groups and why.


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