29 September 2015
Comment Letter - AICPA proposed statement on forming an opinion and reporting on financial statements
In our comment letter, we support the proposed Statement on Auditing Standards. We believe the amendments will improve consistency in reporting when an audit is conducted in accordance with both GAAS and the standards of the PCAOB and the audit is not within the jurisdiction of the PCAOB.
14 August 2015
Amendment to Statement on Auditing Standards No. 122 Section 700, Forming an opinion and reporting on financial statements
Auditors of entities whose audits are within the jurisdiction of the PCAOB are required to be registered with, and subject to inspection by, the PCAOB. In these situations, the AICPA Code of Professional Conduct requires members to conduct the audit of the financial statements in accordance with the standards of the PCAOB and does not also require an audit to be conducted in accordance with GAAS. Other situations exist in which an entity whose audits are not within the jurisdiction of the PCAOB desires to obtain an audit conducted under PCAOB auditing standards. In these situations, the AICPA Code of Professional Conduct requires members to also conduct the audit in accordance with GAAS, which results in the audit being conducted in accordance with multiple auditing standards. The financial statements and the auditor’s report may, in some circumstances, be filed with the SEC. This proposed amendment provides requirements and guidance for reporting on an audit conducted in accordance with both GAAS and the standards of the PCAOB. Comments are due by 30 September 2015.
3 November 2015
Second annual audit committee transparency barometer
The second edition of the Audit Committee Transparency Barometer, an annual report issued jointly by Audit Analytics and the Center for Audit Quality, identifies encouraging trends in 2015 with respect to voluntary, enhanced disclosure around external auditor oversight, an important facet of the audit committee’s broader financial reporting oversight role.
18 August 2015
CAQ Profession in Focus, Episode 5
In this edition of "Profession in Focus," Stephen R. Howe, Jr., Americas Managing Partner and Managing Partner of the U.S. Firm at EY, shares reflections on auditing, governance, and diversity, including how striving for diversity benefits his firm.
13 November 2015
EITF Update - November 2015
The EITF reached final consensuses on recognition of breakage for prepaid stored-value products, effect of derivative contract novations on existing hedge accounting relationships and contingent put and call options in debt instruments. The EITF also reached a consensus-for-exposure on the classification of certain cash receipts and cash payments on the statement of cash flows. The EITF discussed but didn’t reach a consensus-for-exposure on the cash flow classification of restricted cash. It plans to discuss this topic at a later date.
18 September 2015
EITF Update - September 2015
The EITF discussed but didn’t reach a final consensus or consensus-for-exposure on recognition of breakage for prepaid stored-value cards and statement of cash flows: classification of certain cash receipts and cash payments.
23 November 2015
Clarifying the definition of a business
This proposed FASB standard is intended to clarify the definition of a business with the objective of adding guidance to assist organizations with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. Comment are due by 22 January 2016.
20 November 2015
FAF trustees name 16 new members to the Financial Accounting Standards Advisory Council
The Board of Trustees of the FA) appointed 16 new members to the Financial Accounting Standards Advisory Council (FASAC). The FASAC is responsible for advising the FASB on strategic issues, project priorities, and other matters that affect accounting standard setting. Named as the new FASAC chair was Andrew G. McMaster Jr., the retired deputy chief executive officer and vice chairman of Deloitte & Touche LLP. Of the new members, five are investors, three are financial statement preparers, five are auditors, two are academics, and one is an association executive.
8 October 2015
Accounting and financial reporting for pensions provided through certain multiple-employer defined benefit pension plans
The GASB proposed new guidance intended to assist governments that participate in certain multiple-employer pension plans to meet the reporting requirements of GASB Statement No. 68, Accounting and Financial Reporting for Pensions. The proposed guidance would apply to governments that participate in certain private or federally-sponsored, multiple-employer defined benefit pension plans, such as Taft-Hartley plans or plans with similar characteristics. Comments are due by 16 November 2015.
21 September 2015
Implementation Guide No. 20XX-X, Implementation Guidance Update—20XX
This proposed implementation guide focuses on questions that have been raised related to GASB’s new standards on pensions, retiree healthcare benefits, and fair value reporting. This proposed guide also addresses a wide array of practice issues on other topics that have been brought to the GASB’s attention. Comments are due by 30 November 2015.
26 October 2015
PCAOB held second annual economic conference on auditing and capital markets
The PCAOB's Center for Economic Analysis, in conjunction with the Journal of Accounting Research, concluded Friday its second annual Economic Conference on Auditing and Capital Markets, an event promoting academic research that studies the economic impact auditing has on capital markets.
15 October 2015
PCAOB report encourages auditors to take action in response to risk assessment deficiencies identified in inspections
The PCAOB issued a report detailing significant deficiencies in registered audit firms' implementation of and compliance with certain auditing standards related to the auditor's assessment of and response to risk in an audit as observed during 2012-2014 inspections.
20 November 2015
Comment Letter - Regulation S-X requirements for other entities
In our comment letter, we responded to the SEC’s request for feedback on requirements that registrants disclose information about other entities (e.g., acquired businesses, equity method investees and subsidiary issuers and guarantors) and said the rules are complex and require disclosures that are not as useful as they could be. We recommended simplifying the significance tests, enhancing pro forma financial information and expanding the use of abbreviated financial statements and summarized financial information to reduce the compliance costs while still providing investors with material information. We encourage others to submit comments and believe the SEC will accept and consider them after the official comment period closes on 30 November 2015.
20 November 2015
Comment letter - Regulation S-X requirements for registrant’s financial statements
In our comment letter, we encouraged the SEC to streamline annual and quarterly reporting requirements, eliminate inconsistencies between the disclosure requirements of the Securities Act of 1933 and Exchange Act of 1934 and coordinate with the FASB to eliminate duplicative disclosure requirements.