Integrated Information Systems, SAS 94 & Auditors

This expansion in the usage of information technology (IT) in organizations affects the financial audit. This technology rich environment can significantly impact how auditors meet the audit objectives. In recognition of these developments, the United States Auditing Standards Board (ASB) issued Statement on Auditing Standards No. 94 (SAS 94), which amends SAS 55, giving guidance to auditors as to how IT impacts internal control and, in turn, affects how auditors obtain their understanding of internal control and assess control risk. SAS 94 is effective for the audits of financial statements for periods beginning on or after June 1, 2001. This article will describe the major changes resulting from SAS 94 and provide suggestions for implementation