Accounting & Auditing


PwC

Bricker returns to PwC; Teotia named permanent chief

2019-07-18T19:16:00+01:00By

Wes Bricker, former SEC chief accountant, has rejoined PwC as vice chair and assurance leader for the United States and Mexico.

BurntCalculator

Estimation vs. precision: tension in accounting grows

2019-07-18T18:35:00+01:00By

It’s more than big change prompting major deferrals for pending accounting rules. It’s also about the growing tension between estimation and precision.

RelaxingBusinessman

FASB to push CECL to 2023 for small public companies

2019-07-17T18:31:00+01:00By

FASB has signaled it plans to extend CECL for smaller public companies to 2023, along with delaying a number of other effective dates.

aug20

Webcast: Quality Reviews: Getting the Audit Scores you Want

2019-07-16T14:23:00+01:00Provided by

Webcast details: August 20, 2019 – 2 p.m. ET   |  CPE Credit(s): 1

Defense

IIA seeks comments on update to ‘three lines’ model

2019-07-16T12:59:00+01:00By

Internal auditors are buffing up their longstanding Three Lines of Defense model for how to provide organizations with optimal coverage of risk and control functions.

clock delay

FASB tees up CECL delay for small public companies

2019-07-15T16:12:00+01:00By

FASB is formally considering delaying the required effective date of some of its standards, including credit losses for small public companies.

NeedsImprovement

U.K. audit regulators see no improvement in audit quality

2019-07-12T16:42:00+01:00By

U.K. audit regulators saw no improvement in audit quality in their most recent inspections, indicating none of the major firms achieved targeted pass rates.

Sleeper

Another CECL sleeper? Auditors get new rules on estimates

2019-07-12T15:31:00+01:00By

While companies adopt CECL, auditors are gearing up for new rules requiring them to more closely scrutinize estimates and the specialists who produce them.

insider trading

SEC charges former Illumina accountant with insider trading

2019-07-11T15:13:00+01:00By

The SEC has filed insider trading charges against a former Illumina accountant and friend whose alleged scheme resulted in $6.2 million in profits.

GoodwillValuation

FASB seeks comment on how to sort out goodwill issues

2019-07-10T13:42:00+01:00By

FASB is looking for input on how to address ongoing problems in the reporting of certain intangible assets, especially goodwill.

DOJSeal

Regulatory events: What’s hot this summer!

2019-07-09T20:46:00+01:00By DeAnn Orie

Here’s a look at some upcoming events and training from regulators like the SEC, DOJ, and PCAOB.

SEC building

SEC approves new audit rules on estimates, specialists

2019-07-08T12:33:00+01:00By

The SEC has approved final standards issued by the PCAOB giving auditors new requirements for auditing estimates and relying on the work of specialists.

SummerAccounting

CECL in summer: Get ready for models, data, auditors

2019-07-02T19:17:00+01:00By

It may be summertime, but the living is not so easy for corporate finance staff preparing for CECL—a major change to the reporting of credit losses.

Trending down

BDO shows improvement in latest PCAOB inspection

2019-07-01T20:35:00+01:00By

The PCAOB says it found fault with 39 percent of the audits inspected at BDO USA in 2017 – the firm’s first time with a deficiency rate below 50 percent since 2011.

Small change

FASB proposes small changes to CECL standard

2019-07-01T20:29:00+01:00By

FASB has issued a proposed revision to the CECL standard to address a handful of implementation questions as companies prepare for the new accounting.

Questions raised

KPMG fallout: Cheating allegations raise new questions

2019-06-19T19:33:00+01:00By

After new allegations at KPMG of cheating on internal training tests, audit committees now have another area of questioning for their external auditors.

TornContract

SEC overturns PCAOB action stemming from financial crisis

2019-06-19T13:45:00+01:00By

The SEC has canceled sanctions imposed by the PCAOB on a now-retired KPMG auditor connected with a mortgage lender failure at the height of the financial crisis.

SEC

SEC finalizes change to auditor independence rules

2019-06-18T18:55:00+01:00By

The SEC has finalized its revision of auditor independence rules to change the threshold around lending relationships with clients that would raise concerns.

KPMG

More cheating charges at KPMG: SEC fines firm $50M

2019-06-17T17:53:00+01:00By

The SEC has fined KPMG for not only allegations of cheating on regulatory inspections, but also new charges of numerous auditors cheating on training exams.

TryAgain

Software problems exacerbate lease compliance

2019-06-12T15:28:00+01:00By

Nearing the end of their second quarter observing new lease accounting rules, many public company accounting departments are still cursing their software.

Heinz building

Kraft Heinz cuts net income, continues with SEC probe

2019-06-11T14:19:00+01:00By

In a recently filed restatement, Kraft Heinz reduced its reported net income by $150 million going back to 2015 to correct employee misconduct in accounting.

GrantThornton

Grant Thornton changes leaders, ending CEO term early

2019-06-10T18:31:00+01:00By

Offering no specific reason for his early departure, Grant Thornton says Mike McGuire is stepping aside as CEO.

AuditQuality

Regulators globally still call for better audits

2019-06-10T17:33:00+01:00By

While encouraged by the trend in audit inspection results, global audit regulators report they are still seeing levels of audit deficiency that command continued focus on improvement.

ChinaUS

New bill seeks to end regulatory stalemate with China

2019-06-06T19:09:00+01:00By

Bipartisan legislation proposes to increase oversight on China-based companies listed on U.S. exchanges and delist those that fail to comply in three years.

MoneyFine

PCAOB disciplines former Big Four auditors

2019-06-05T20:35:00+01:00By

The PCAOB has disciplined two former Big Four auditors—one over an audit of internal control and the other over inspection issues.

SECLease

SEC takes questions on knock-on effects of new lease rules

2019-06-05T18:27:00+01:00By

SEC staff members met with the Center for Audit Quality’s SEC Regulations Committee to acknowledge concerns and answer questions associated with new lease accounting rules.

Auditcommunication

PCAOB to auditors: better document independence issues

2019-06-03T20:46:00+01:00By

The Public Company Accounting Oversight Board issued guidance to auditors to explain how they should handle communication with audit committees under Rule 3526.

SEC

Bricker resigns chief accountant post at SEC

2019-05-31T13:45:00+01:00By

Wes Bricker, chief accountant at the Securities and Exchange Commission, is leaving his post in June, to be succeeded by Sagar Teotia as acting chief accountant.

SECcrop

SEC eyeing non-GAAP numbers that alter GAAP

2019-05-31T13:28:00+01:00By

SEC staff members are signaling to public companies that they still have concerns over uses of non-GAAP measures that seem to thumb their nose at GAAP.

Tillis

New bill sits on Senate agenda to block, study CECL

2019-05-30T19:42:00+01:00By

A new bill intended to block CECL is awaiting action in the Senate Banking Committee, much to the delight of big banks.

SEC panel

SEC focus: Reduce burden while protecting investors

2019-05-30T15:51:00+01:00By

The SEC has stuck to its promise to focus on initiatives that can improve capital formation and lighten the regulatory burden.

GE

GE shareholders still want new auditor, vote suggests

2019-05-22T19:51:00+01:00By

While the rancor appears to have softened a bit, General Electric shareholders are still signaling to the audit committee that they want a new auditor.

Audit

DOJ looks for robust internal audit, guidance says

2019-05-20T11:36:00+01:00By

Companies have new reasons to dial up internal audit in light of recent DOJ guidance on how its prosecutors should evaluate corporate compliance programs.

AccountingUpdateFeature

FASB revises CECL to resolve dual measurement glitch

2019-05-17T15:43:00+01:00By

FASB has finalized a small change to CECL to help companies that were facing a conundrum based on a fair-value election elsewhere in GAAP.

StartToFinishFeature

Non-banks still have plenty of work ahead to adopt CECL

2019-05-16T19:32:00+01:00By

Efforts to adopt CECL are generally underway in the banking sector, but companies outside financial services may still have plenty to do.

AuditOpinionFeature

SOX did not end audit opinion shopping, study says

2019-05-14T16:50:00+01:00By

Despite regulatory efforts to make auditors more independent and more skeptical, companies have been able to shop for audit opinions, a new study says.

Search

FRC: Auditors must look for fraud

2019-05-09T20:50:00+01:00By

FRC CEO Stephen Haddrill confirmed that during the transition to the new statutory regulator, the Audit, Reporting and Governance Authority, the FRC will remain committed to tackling “deficiencies in audit and reporting quality vigorously.”

AreYouReadyFeature

Some companies are ready for CECL, some are not

2019-05-08T14:16:00+01:00By

Citigroup raised its expected loan loss reserves under CECL as it prepares for parallel testing of its methodology, but plenty of organizations have barely started.

OverseerTop

Audit committees get some help overseeing CECL

2019-05-07T19:45:00+01:00By

The Center for Audit Quality is giving audit committees a hand in overseeing implementation of the new credit losses standard.

AuditInspectionFeature

PCAOB inspectors find recurring problems, but evidence of effort

2019-05-07T19:16:00+01:00By

Auditors are still struggling with many of the same issues that have appeared prominently in inspection reports the past several years—but many firms are taking steps to address recurring problems, audit regulators say.

Heinz

Citing misconduct in procurement, Kraft will restate

2019-05-06T17:28:00+01:00By

Kraft Heinz will restate nearly three years of financial results after determining employee misconduct in procurement caused a net $208 million misstatement in product costs.

Executive Compensation

Investors don’t mind non-GAAP in CD&A; they want clarity

2019-05-03T13:37:00+01:00By

Lack of clarity in how companies use non-GAAP measures to calculate executive compensation prompted investors to petition the SEC for change.

NoEnforcement

Enforcement actions against accountants on the decline

2019-05-02T13:45:00+01:00By

Accountants and auditors are getting a lighter touch from enforcement authorities, according to an analysis that shows actions dropped significantly from 2017 to 2018.

gaap

Investors ask SEC to revise non-GAAP rules on comp disclosure

2019-05-01T20:50:00+01:00By

Non-GAAP reporting is obscuring executive compensation disclosures in proxy statements, investors say, and they are asking the SEC to revise its rules.

FirstQuarterReports

First-quarter reports add lease assets, liabilities

2019-05-01T20:36:00+01:00By

First-quarter reports reflecting new lease accounting rules are beginning to trickle into the market, adding billions in assets and liabilities to balance sheets.

Accounting

FASB clarifies financial instruments rules, including CECL

2019-04-26T20:08:00+01:00By

FASB issued an update to accounting standards to clarify new rules on CECL, hedging, and recognition and measurement of financial instruments.

Taxdocs

Tax leaders look to retool compliance to cope with change

2019-04-25T19:55:00+01:00By

Overwhelmed by an onslaught of requirements, data, and technology, tax departments are beginning to look for new ways to achieve compliance.

Truckstock

Celadon Group to pay $42.2M in restitution for accounting fraud

2019-04-25T19:48:00+01:00By

Trucking company Celadon Group entered into a corporate resolution for securities fraud and will pay total restitution of $42.2 million for filing materially false and misleading statements to investors and falsifying books, records, and accounts.

Stocks

Options drive more risk than stock, study says

2019-04-24T20:07:00+01:00By

Company executives may be more likely to take on risk when their compensation is based more on stock options than stock awards, a new study says.

DelawareLegislative

Delaware ramps up revised unclaimed property approach

2019-04-24T20:04:00+01:00By

Delaware’s Secretary of State is inviting corporations incorporated in that state to join it in resolving any outstanding unclaimed property issues. The invite comes with a catch: Companies must respond within 60 days or face an unclaimed property audit.