How does exception reporting differ from compliance reporting?

What will be an ideal response?

Exception reports can help identify events that fall outside accepted ranges. Financial systems generate exception reports that automatically tag unusual events-ones that human beings must review. Such reports are used to spot mistakes, and also fraud. For example, average losses per incident may not be huge, but the same employees repeat the fraud over and over, so losses can mount. For example, if sales reps exaggerate mileage for trips, or travelers submit receipts twice, exception reports would spot the fraud.
Financial systems also carry the major burden of compliance reporting, and in doing so they must conform to local, national, and international regulations that grow increasingly strict. In the United States, the Security and Exchange Commission (SEC) mandates many aspects of compliance, and electronic reporting is required, relying on eXtensible Business Reporting Language.