Audit reports are beginning to carry some new information meant to make them more informative to investors, including a reference to just how long the same audit firm has been auditing each public company’s books.
Audit experts are advising audit committees to take it for what it’s worth—a piece of information that’s noteworthy, but doesn’t necessarily mean anything all by itself. “It’s a reference point in the overall consideration of audit committee oversight, selection, and retention of the audit relationship,” said Wes Bricker, chief accountant at the Securities and Exchange Commission, at a recent accounting conference.
