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Reporting on IC should be as of a certain time
Joe-82221 - 10/30/2019, 4:37 pm

I don't see the second answer correct as the auditor report for IC at certain point and as of a certain date, not throughout the entire period. Anybody has the same though?

verified_user RobPremCPA (Instructor) - 11/1/2019, 7:53 pm

Hey Joe,

The second answer is correct. It's because of the type of report that the question is referring to. In this question, the auditor is performing an attestation engagement of a service organization's internal controls. In this case, the auditor is issuing a report and opinion on the IC throughout the period, and not just as of period-end.

You are correct that an IC audit opinion is issued as of the period-end date in an integrated audit report, which opines both the financial statements and internal controls.

Hope this helps! Does this make sense? If you're the slightest confused, that means others are likely confused too! Please, just ask.