About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

A88416 1 (2008-05-30)

handle is hein.gao/gaobadvuv0001 and id is 1 raw text is: A 0 .,!! = Accountability * Integrity Reliability United States Government Accountability Office Washington, DC 20548 May 30, 2008 International Auditing and Assurance Standards Board International Federation of Accountants 545 Fifth Avenue, 14th Floor New York, New York 10017 Subject: International Auditing and Assurance Standards Board (JAASB) December 2007, Exposure Draft: ISAE 3402, Assurance Reports on Controls at a Third Party Service Organization This letter provides the U.S. Government Accountability Office's (GAO) comments on the JAASB's proposed International Standard on Assurance Engagements (ISAE) 3402. Overall, we support the proposed standard. The Board has asked respondents to answer specific questions and to comment on other matters in the exposure draft. We provide the requested answers and comments in this letter and recommend specific wording changes in the related attachment. Request for Specific Comments Question 1. The IAASB would welcome views on the proposal that the ISAE be written for application to assertion-based engagements. In particular, the IAASB would welcome any views on whether there are situations in which it would not be possible or practicable for management of the service organization to provide an assertion. Response/Comment: We support the JAASB's decision to write the proposed standard for application to an assertion-based engagement, where the service organization's management confirms, in a statement made available to users, certain information about the design and, for type B reports, the operating effectiveness, of the service organization's controls. An assertion-based engagement is preferable to a direct reporting engagement, in which all relevant information is included in the service auditor's assurance report and there is no management assertion. Also, including in the report management's acknowledgement of its responsibility for the design and, for type B reports, the operating effectiveness, of controls serves as an important accountability mechanism, clearly informing report users that management is responsible for controls.

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most