- Inspection year
- 2024
- Report date
- 30-Jan-2025
- PCAOB release
- 104-2025-032
- Audits reviewed
- 2
- Audits w/ Part I.A deficiencies
- 1
- Part I.A deficiency rate
- 50%
- Part I.A deficiencies
- 2
- Part I.B deficiencies
- 1
- Report
- View PDF ↗
Deficiencies (2)
Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.
Issuer A2 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Business Combinations | During the year the issuer acquired a business and engaged an external specialist to determine the fair value of the acquired intangible assets. The firm selected for testing a control that consisted of the issuer's review of the company's specialist report. The firm did not identify and test any controls over the reasonableness of certain assumptions provided by management to the company's specialist and used by the specialist in the determination of the fair value of the acquired intangible assets included in its report. (AS 2201.39) ICFR audit only | AS 2201.39 | Significant risk |
| 2 | Journal Entries | The firm selected for testing a control that consisted of the review of journal entries. The firm did not sufficiently test the design and operating effectiveness of this control because its procedures to evaluate whether the control operators reviewing journal entries were different from the individuals preparing journal entries were limited to obtaining from management a listing of individuals who can prepare journal entries without testing the completeness of this listing. (AS 2201.42 and .44) ICFR audit only | AS 2201.42; AS 2201.44 |