Question

What are SAS Nos. 122–124? What did you find most interesting about these standards?

Answer 1

SAS 122--This statement contains preface to codification of statements on Auditing standards, principles underlying an audit conducted in accordance with GAAP. this statement recodifies and supersedes all outstanding SAS's through No.121 except SAS 51, SAS 9, SAS 65,SAS 87. Clarified SASs that were issued to practice issues timely are already effective.

Sec 123----This statement contains amendment to SASs 117-118, SAS 122, AU-C sections. These amendments have been issued in this statement to aid transparency in following the disposition of amendments proposed in exposure draft of SASs.

SAS 124------- superseded the requirement the requirements and guidance in SAS no 51, reporting on Financial statements prepared for use in another country. This statement requires the auditor , in instance where report that is to be used in US was prepared in accordance with a financial reporting framework generally accepted in another country, to include an emphasis of matter paragraph to highlight the foreign financial reporting framework, bu permits the auditor to express unqualified opinion

Aditing Standard Board has achieved a milestone in its Clarity project with the issuance of statements on Auditing Standards (SAS)122-124