CPA Observation Post

PCAOB Hears Further Debate over Audit Firm Rotation (via @AccountingToday)

The Public Company Accounting Oversight Board held a daylong meeting to gauge reaction to its proposal for mandatory audit firm rotation. The San Francisco roundtable followed a two-day meeting in March in Washington, D.C. Many of the comments seemed more supportive of the concept of requiring public companies to rotate their auditing firms. Read More>>

Business groups ask PCAOB to drop mandatory audit-firm rotation proposal

A group of associations and groups representing the business community has asked the U.S. Public Company Accounting Oversight Board to drop its mandatory auditor rotation proposal. The groups, which include the U.S. Chamber of Commerce and The Financial Services Roundtable, argue that PCAOB has not proven that such a drastic step is necessary. PCAOB's extended comment period on the concept ended Sunday. Read More>>

Lawmakers Aim to Stop PCAOB from Imposing Audit Firm Rotation (via @AccountingToday)

A House subcommittee held hearings Wednesday in which they questioned the Public Company Accounting Oversight Board’s recent proposal for mandatory audit firm rotation, along with the PCAOB’s push to make disciplinary proceedings against auditors public. Read More>>

Auditor's reporting model proposal scheduled for Q3 release (via AICPA_JofA)

The Public Company Accounting Oversight Board's standard-setting agenda, released Monday, shows that a proposal in the auditor's reporting model project is on track to be issued for public comment in the third quarter. The agenda lists the second quarter of 2013 as the target for the final auditor's reporting model standard, or a reproposed standard for further public comment. PCAOB also outlined certain key dates for other projects, including the consideration of audit firm rotation. Read More>>

Big Four Audit Firms Accused of ‘Duopoly’ and PCAOB of ‘Mission Creep’ (via @AccountingToday)

The second day of the Public Company Accounting Oversight Board’s two-day public meeting on its proposal for mandatory audit firm rotation had its share of drama, with accusations that the Big Four firms are monopolizing the audit market at the expense of minorities, and a demand from the U.S. Chamber of Commerce that the PCAOB shelve the proposal because of “mission creep.” Read More>>

Measure would kill PCAOB auditor-rotation proposal

U.S. Rep. Mike Fitzpatrick, R-Pa., has proposed a change to the Sarbanes-Oxley Act that would prevent the Public Company Accounting Oversight Board from requiring companies to rotate auditors. The amendment also would prevent the PCAOB from mandating the use of specific auditors. Read More>>

PCAOB panelists suggest alternatives to mandatory audit firm rotation

A mandatory request-for-proposal concept and a financial statement insurance model were among the alternatives to mandatory audit firm rotation proposed Thursday during the second of two days of hearings in Washington on enhancing the independence and professional skepticism of auditors. Read More>>

PCAOB Hears Pros and Cons of Audit Firm Rotation

The Public Company Accounting Oversight Board heard testimony from a series of high-profile auditing experts on the advantages and disadvantages of requiring companies to rotate their auditing firms on a regular basis. Read More>>

Debate continues over auditor independence and audit firm rotation (via @AICPA_JofA)

One of the most hotly contested issues in accounting and auditing will be debated when the PCAOB holds an open meeting on auditor independence and audit firm rotation on Wednesday and Thursday in Washington. Read More>>

PCAOB Chairman James Doty Sees Progress on Foreign Inspections (via @AccountingToday)

James R. Doty has served for over a year as chairman of the Public Company Accounting Oversight Board, and in that time, the board has made progress in its efforts to inspect auditing firms in other countries, although China remains a sticking point. Read More>>