What is Major program?
In short
In a single audit, major programs are the federal programs the auditor selects for a compliance audit, using a risk-based approach that starts by grouping programs into larger (Type A) and smaller (Type B) programs by expenditures.
Key takeaways
- Type A programs not judged low risk are audited as major programs.
- Major programs must cover at least 40% of total federal expenditures, or 20% for a low-risk auditee.
- The auditor gives an opinion on compliance for each major program.
Where it's tested
AUD: Attestation & System and Organization Controls (SOC) Engagements — study notes, a five-minute revision sheet and practice questions.
Practise: 3 questions
Question 1 of 3 · 0 answered
A user auditor wants to rely on controls at a service organization for the entire audit period. Which report provides appropriate evidence?