Professor Elam

Tuesday January 14 2014

On page B6 of today's WSJ, we learn that external auditors are digging deeper. The PCAOB last October isssued Audit Practice Alert #11.

the PCAOB ntoed that in nearly one of 3 audits if found less than sufficient evidence to defend the internal control function.

The result is that external auditors are asking for more documents and sitting in on meetings at the firm to learn more about day to day workings of the internal controls.

A couple of posts back the President of the IIA noted the difference in East and West auditing. In the East, Asian auditors are more likely to be on the spot. Here is a good example of just that. 'This is also an example of how reading the WSJ keeps one in touch with what is happening in accounting.