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The AICPA has issued SAS 149, Special Considerations — Audits of Group Financial Statements (https://www.aicpa.org/resources/download/aicpa-statement-on-auditing-standards-no-149) (Including the Work of Component Auditors and Audits of Referred-to Auditors), which supersedes extant AU-C 600. The new standard differentiates between a newly created term “referred-to auditors” (not part of the engagement team) and an updated term “component auditors” (part of the engagement team). It also moves towards a principles based approach for deciding the proper audit response. The SAS is effective for audits of group financial statements for periods ending on or after December 15, 2026.
Do you agree with the changes to group audits?
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