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In this session, we discuss reporting on compliance, aiming to ensure that the entity in question operates according to established criteria such as laws, regulations, and contractual agreements. The primary goals of compliance reporting are to promote transparency, accountability, and good governance. Compliance can be reported in three different contexts: 1) within a financial statement audit, which integrates compliance within traditional auditing; 2) through attestation engagements, where specific compliance assertions are evaluated; and 3) under single audit engagements, which focus on an entity's compliance with federal requirements. Understanding these contexts is crucial for effective compliance reporting.
