• Register
Return to: Home > News > Regulation > PCAOB: US auditors fell short during global crisis

PCAOB: US auditors fell short during global crisis

The US oversight board has recommended auditors improve their quality control systems.

The Public Company Accounting Oversight Board (PCAOB) made the recommendations after it found auditors fell short of complying with auditing standards due to the pressures of the global financial crisis.

Compliance suffered particularly in areas such as fair value measurements, impairment of goodwill, indefinite-lived intangible assets, allowance for loan losses, off-balance-sheet structures, revenue recognition and inventory and income taxes.

The findings indicate that some auditors were less diligent in assessing and responding to emerging areas of risk when economic and business conditions changed.

The PCAOB said it will now also consider whether additional guidance is needed in relation to existing standards.

The report published by PCAOB covers aspects of the board’s inspections conducted during the 2007 to 2009 inspection cycles.

Top Content

    HONG KONG NATIONALS: UNDERSTANDING VISA AND TAX WHEN MOVING TO THE UK

    Over 2 million Hong Kongers learned recently that they may soon be offered a route to UK citizenship following China’s introduction at the end of June of its controversial Security Law in the territory.

    read more

    SASB IMPLEMENTATION SERIES: COMMUNICATING ESG TO MAINSTREAM INVESTORS

    As part of a series of webinars, the Sustainability Accounting Standards Board (SASB) took a closer look at how to communicate ESG initiatives and progress to mainstream investors

    read more

    REPORTING AND COMPLIANCE: WHY WE NEED A DATA REVOLUTION

    Commerce no longer adheres to national boundaries: the largest international organisations to the smallest businesses operate in a global market. However, rules for corporate reporting and compliance do adhere to borders, write IMA’s Jeff Thomson and Liv A Watson

    read more

    CORONAVIRUS TIMELINE: REACTIONS FROM THE ACCOUNTANCY PROFESSION

    As the Coronavirus (COVID-19) continues to spread across the world, the International Accounting Bulletin and The Accountant will be collating all the latest news and updates from the profession on the pandemic’s impact.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.