Firms considering outsourcing need to spend considerable time and effort to thoroughly review the outsourcing firm's ____ audit and ensure that they understand the firm's control goals and implementations.
A) ISO 17799
B) ISO 70
C) SAS 17799
D) SAS 70

Question

Quizplus · Accepted Answer

SAS 70 (Statement on Auditing Standards No. 70) is a widely recognized auditing standard that evaluates an outsourcing firm's control objectives and activities. It is crucial for a company considering outsourcing to review the outsourcing firm's SAS 70 audit report thoroughly to ensure that the outsourcing firm has implemented appropriate controls and has met regulatory requirements. The other options (A) ISO 17799 and (C) SAS 17799 are not valid auditing standards, and (B) ISO 70 does not exist.

Firms Considering Outsourcing Need to Spend Considerable Time and Effort