Audit & Assurance
Audit & Data Analytics Sub-Group (ADA)
- Audit & Data Analytics (ADA) Directory
- Audit & Data Analytics (ADA) Interactive Forum on Ryver (By invite only. Email email@example.com if you'd like to join.)
Meet the Co-chairs - TIAG
Cornick, Garber & Sandler, LLP
Mercer & Hole
In November 2017, the American Institute of Certified Public Accountants (AICPA) published an updated audit and accounting guide on analytical procedures. The use of audit analytics can help during the planning and review stages of the audit. But analytics can have an even bigger impact when these procedures are used to supplement substantive testing during fieldwork. Here’s how your auditor uses analytical procedures to make your audit more efficient and effective — and why it’s critical for you to tell your auditor about major changes during the accounting period.
Contact: Peggy McCaffrey
In a no-action letter issued by the Securities and Exchange Commission (SEC) Division of Investment Management to Fidelity Management and Research Company in June 2016, the SEC provided temporary relief in connection with audit firm independence and Regulation S-X Rule 2-01 (c)(1)(ii)(A), or, the “Loan Rule.”
Author: Chris Valponi, CPA
For many companies, keeping close tabs on revenue, expenses, and profit is the number one priority. However, companies that carry inventory may not realize its direct effect on profitability. This effect is known as shrinkage. Shrinkage is the excess amount of inventory (in accounting records) that no longer exists in the actual inventory. In other words, it is a loss of inventory.
Contact: Lisa Brink, ESV (New South Wales, Australia)
Earlier this year the International Auditing and Assurance Board (IAASB) issued its new and revised suite of reporting standards. Included in the changes is a brand new standard, ISA701 – communicating Key Audit Matters in the Independent Auditor’s Report, which will become effective for new audit reports for financial periods ending on or after 15 December 2016.
Contact: Sherwin Brook; BrookWeiner L.L.C. (Illinois, USA)
The PCAOB has been running seminars around the country and one of the main topics of discussion was the indepence rule which prohibited the auditor of companies including broker dealers, mutual funds and hedge funds from assisting and or preparing the financial statement which are submitted to regulatory authorites.
Such entities need to either prepare their own financial statements or have an independent auditing firm do so in order for opining firm to be deemed independent.