What are Statements on Auditing Standards?

The Statements on Auditing Standards are used by auditors as a source of information regarding how to conduct and report on audits of their non-public clients. These standards are promulgated by the Auditing Standards Board, which is associated with the American Institute of Certified Public Accountants (AICPA). Each of these statements is commonly referred to by its number designation. Thus, the statement dealing with compliance audits is referred to as SAS 117.