Audit Committees: Potential Areas for Inquiry as a Result of 2010 PCAOB Inspections of Public Company Auditors

Sullivan & Cromwell LLP - January 9, 2013

The Public Company Accounting Oversight Board has issued a Report to highlight certain common deficiencies in audits of internal control over financial reporting identified in the PCAOB’s 2010 inspections of the eight largest audit firms. While the Report is intended primarily to provide guidance to auditors, the PCAOB suggests that it may also provide audit committees with useful areas of inquiry when carrying out their responsibilities with respect to independent auditors.