- Inspection year
- 2022
- Report date
- 07-Jun-2023
- PCAOB release
- 104-2023-092
- Audits reviewed
- 1
- Audits w/ Part I.A deficiencies
- 1
- Part I.A deficiency rate
- 100%
- Part I.A deficiencies
- 4
- Part I.B deficiencies
- 3
- Report
- View PDF ↗
Deficiencies (4)
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 firm selected for testing a control that consisted of the review of the qualitative or quantitative analysis based on the reporting unit used in the issuer's annual goodwill impairment assessment. The firm did not evaluate the review procedures that the control owners performed including the procedures to identify items for follow up and the procedures to determine whether those items were appropriately resolved. (AS 2201.42 and .44) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44 | Significant risk |
| 2 | Journal Entries | For certain locations the firm selected for testing a control that consisted of the review of journal entries. The firm did not evaluate the specific review procedures that the control owners performed to assess the appropriateness of the journal entries. (AS 2201.42 and .44) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44 | |
| 3 | Journal Entries | For certain other locations the firm did not identify and test any controls over the review of journal entries. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 4 | Journal Entries | For certain locations the firm identified characteristics of potentially fraudulent entries or adjustments for testing but did not determine whether any journal entries met those characteristics and instead limited its testing to haphazardly selected journal entries. (AS 2401.61) Both financial statement and ICFR audits | AS 2401.61 |