ExpertHard1 markMultiple Choice
CPA · Question 81 · Area III: SOC Engagements
Which of the following is a 'Subsequent Event' in a SOC 2® engagement?
Which of the following is a 'Subsequent Event' in a SOC 2® engagement?
Answer options:
A.
A control failure that occurred during the period.
B.
A significant control failure that occurs after the period covered by the report but before the report is issued.
C.
A change in the auditor's fee.
D.
A planned future change to the system.
How to approach this question
Subsequent = After the period, before the report.
Full Answer
B.A significant control failure that occurs after the period covered by the report but before the report is issued.✓ Correct
Subsequent events are events that occur after the period covered by the examination but before the date of the service auditor's report, which could have a significant effect on the user's understanding of the system.
Common mistakes
Confusing with events during the period.
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