Government Auditing Standards (Yellow Book)
Encyclopedia
The Generally Accepted Government Auditing Standards (GAGAS), commonly referred to as the "Yellow Book", are produced in the United States
by the Government Accountability Office
(GAO).
The standards apply to both financial
and performance audit
s of government agencies
. Five general standards are included:
The Yellow Book standards are used by auditors who examine the federal government, including the General Accountability Office, various offices of Inspector Generals, and others. Many local government performance auditors also use the yellow book standards. In addition, CPA firms who perform local government financial audits that include an A-133 "single audit" must follow yellow book standards.
In addition to financial audits, the Yellow Book standards cover Performance Audits, which evaluate the performance of a program or project against defined objectives, such as objectives for efficiency and effectiveness.
(INTOSAI) has developed the INTOSAI Auditing Standards
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
by the Government Accountability Office
Government Accountability Office
The Government Accountability Office is the audit, evaluation, and investigative arm of the United States Congress. It is located in the legislative branch of the United States government.-History:...
(GAO).
The standards apply to both financial
Financial audit
A financial audit, or more accurately, an audit of financial statements, is the verification of the financial statements of a legal entity, with a view to express an audit opinion...
and performance audit
Performance audit
Performance audit refers to an examination of a program, function, operation or the management systems and procedures of a governmental or non-profit entity to assess whether the entity is achieving economy, efficiency and effectiveness in the employment of available resources...
s of government agencies
Government agency
A government or state agency is a permanent or semi-permanent organization in the machinery of government that is responsible for the oversight and administration of specific functions, such as an intelligence agency. There is a notable variety of agency types...
. Five general standards are included:
- Independence
- Due Care
- Continuing Professional Education (CPE)
- SupervisionSupervisorA supervisor, foreperson, team leader, overseer, cell coach, facilitator, or area coordinator is a manager in a position of trust in business...
- Quality ControlQuality controlQuality control, or QC for short, is a process by which entities review the quality of all factors involved in production. This approach places an emphasis on three aspects:...
The Yellow Book standards are used by auditors who examine the federal government, including the General Accountability Office, various offices of Inspector Generals, and others. Many local government performance auditors also use the yellow book standards. In addition, CPA firms who perform local government financial audits that include an A-133 "single audit" must follow yellow book standards.
In addition to financial audits, the Yellow Book standards cover Performance Audits, which evaluate the performance of a program or project against defined objectives, such as objectives for efficiency and effectiveness.
Other Government Auditing Standards, used by Supreme Audit Institutions
The International Organization of Supreme Audit InstitutionsInternational Organization of Supreme Audit Institutions
The International Organization of Supreme Audit Institutions is a worldwide affiliation of governmental entities. Its members are the Chief Financial Controller/Comptroller General Offices of nations.INTOSAI was founded in 1953 in Havana, Cuba...
(INTOSAI) has developed the INTOSAI Auditing Standards
See also
- CGAP (Certified Government Auditing Professional) certificate of the Institute of Internal AuditorsInstitute of Internal AuditorsEstablished in 1941, The Institute of Internal Auditors is a guidance-setting body. Serving members in 165 countries, The IIA is the internal audit profession's global voice, chief advocate, recognized authority, and principal educator, with global headquarters in Altamonte Springs, Fla., United...
- ComptrollerComptrollerA comptroller is a management level position responsible for supervising the quality of accounting and financial reporting of an organization.In British government, the Comptroller General or Comptroller and Auditor General is in most countries the external auditor of the budget execution of the...
, Comptroller general, Auditor generalAuditor General- Auditor General of National Audit Offices :*Auditor General of the Australian National Audit Office*Auditor General of Canada*Auditor General of China*Auditor General of Pakistan*Auditor General for Scotland*Auditor-General...