CCH Learning Center

Description:

SAS 117 establishes standards and provides guidance on performing and reporting on an audit of an entity’s compliance with applicable governmental audit compliance requirements. This includes audits under OMB Circular A-133, also referred to as single audits. And the HUD Consolidated Audit Guide for Audits of HUD Programs.

SAS 117 updates SAS 74 in several significant respects. The most important of those are that it: reflects changes in the compliance auditing environment; requires auditors to adapt and apply GAAS, including the fraud and risk assessment standards, to a compliance audit; defines terms related to compliance audits; clarifies the applicability of the standard and identifies requirements unique to a compliance audit; identifies elements to be included in an auditor’s report on a compliance audit; and provides guidance for evaluating whether an entity has materially complied with applicable compliance requirements.

After completion of this course, the user should be able to:

• Define key terminology used in Statement on Auditing Standards No. 117, Compliance Audits (SAS 117).
• Determine when SAS 117 is applicable to an engagement.
• List management’s responsibilities in a compliance audit and distinguish them from the auditor’s responsibilities.
• Define the professional requirements of SAS 117 and how to apply them in practice.