SOC Professional Standards & Ethics 3

Question 1

Under AT-C Section 105, which of the following is a required element of an attest engagement?

Accepted Answer

A written assertion by the responsible party about the subject matter

Answer

AT-C Section 105 requires a written assertion from the responsible party as a fundamental element of an attestation engagement.

Question 2

A service auditor's independence is MOST likely impaired if the auditor:

Accepted Answer

Performs bookkeeping services for the service organization being examined

Answer

Performing bookkeeping or accounting services for an attest client creates a self-review threat that impairs independence.

Question 3

The AICPA's 'Conceptual Framework for Independence' identifies which approach to evaluating independence threats?

Accepted Answer

Identify threats, evaluate their significance, and apply safeguards

Answer

The conceptual framework uses a threats-and-safeguards approach: identify the threat, assess its significance, and apply appropriate safeguards.

Question 4

Which type of SOC report is restricted to specified parties (management, user entities, and user auditors)?

Accepted Answer

SOC 1 Type II report

Answer

SOC 1 reports are restricted-use documents intended only for management of the service organization, user entities, and their auditors.

Question 5

An ethical 'cooling-off period' is relevant in SOC engagements because it:

Accepted Answer

Prevents a former employee of the service organization from immediately serving as the service auditor

Answer

A cooling-off period addresses familiarity and self-interest threats by requiring time before a former employee can audit their previous employer.

(SOC) System and Organization Controls Certification Practice Test