- Inspection year
- 2020
- Report date
- 13-May-2022
- PCAOB release
- 104-2022-132a
- Audits reviewed
- 2
- Audits w/ Part I.A deficiencies
- 2
- Part I.A deficiency rate
- 100%
- Part I.A deficiencies
- 5
- Part I.B deficiencies
- 2
- Report
- View PDF ↗
Deficiencies (5)
Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.
Issuer A4 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Goodwill | The issuer completed a quantitative assessment that indicated that goodwill was not impaired but recorded an impairment of goodwill based solely on qualitative information. The firm did not identify and appropriately address a departure from GAAP related to the issuer recording an impairment solely on qualitative information which is not in conformity with FASB ASC Topic 350 Intangibles — Goodwill and Other. (AS 2502.15; AS 2810.30) Unrelated to our review the issuer reevaluated its accounting for the goodwill impairment and concluded that a material misstatement existed that had not been previously identified. The issuer subsequently corrected this misstatement in a restatement of its financial statements and the firm revised and reissued its report on the financial statements. Financial statement audit only | AS 2502.15; AS 2810.30 | |
| 2 | Revenue | The firm did not perform any substantive procedures to test or in the alternative test any controls over the accuracy and completeness of certain information the firm obtained from the issuer and used to test certain revenue. (AS 1105.10) Financial statement audit only | AS 1105.10 | |
| 3 | Revenue | The firm did not perform procedures to test whether performance obligations were satisfied prior to the recognition of certain other revenue. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 4 | Journal Entries | The firm did not identify and select journal entries and other adjustments for testing. (AS 2401.58) Financial statement audit only | AS 2401.58 |
Issuer B1 deficiency
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Revenue | The firm did not perform any substantive procedures to test or in the alternative test any controls over the accuracy and completeness of certain information the firm obtained from the issuer and used to test revenue. (AS 1105.10) Financial statement audit only | AS 1105.10 |