Auditing Interpretations of Statements on Auditing Standards (SASs) are Interpretative Publications pursuant to AU section 150, Generally Accepted Auditing Standards. Interpretive Publications are recommendations on the application of the SASs in specific circumstances, including engagements for entities in specialized industries. Interpretive Publications are issued under the authority of the Auditing Standards Board.
The auditor should identify Interpretive Publications applicable to his or her audit. If the auditor does not apply the auditing guidance included in an applicable Interpretive Publication, the auditor should be prepared to explain how he or she complied with the SAS provisions addressed by such auditing guidance.