- Inspection year
- 2024
- Report date
- 26-Jun-2025
- PCAOB release
- 104-2025-112
- Audits reviewed
- 1
- Audits w/ Part I.A deficiencies
- 1
- Part I.A deficiency rate
- 100%
- Part I.A deficiencies
- 20
- Part I.B deficiencies
- 1
- Report
- View PDF ↗
Deficiencies (20)
Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.
Issuer A20 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Revenue | The firm selected for testing certain controls that included the review of revenue. The following deficiency was identified: · For certain revenue the firm did not identify and test any controls over the timing of the revenue recognition. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 2 | Revenue | The firm selected for testing certain controls that included the review of revenue. The following deficiency was identified: · For one control the firm did not perform procedures to test or test any controls over the completeness of the report from which it selected its sample for testing the control. (AS 1105.10). Both financial statement and ICFR audits | AS 1105.10 | |
| 3 | Revenue | The firm selected for testing certain controls that included the review of revenue. The following deficiency was identified: · For certain other controls the firm did not identify and test any controls over the accuracy and completeness of certain reports used in the operation of these controls. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 4 | Revenue | The following deficiency was identified with respect to the firm's substantive testing of revenue: · For certain revenue the firm did not perform any procedures to evaluate the reasonableness of certain significant assumptions used by the issuer in its estimate of revenue recognition. (AS 2501.16) Both financial statement and ICFR audits | AS 2501.16 | |
| 5 | Revenue | The following deficiency was identified with respect to the firm's substantive testing of revenue: · For a certain revenue disclosure the firm did not perform procedures to test or test any controls over the accuracy and completeness of the system-generated report used by the firm to test the disclosure. (AS 1105.10) Both financial statement and ICFR audits | AS 1105.10 | |
| 6 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. As a result of the following deficiencies in the firm's testing of IT general controls (ITGCs) over certain of these IT systems the firm's testing of these automated and IT-dependent controls was not sufficient. (AS 2201.46) Both financial statement and ICFR audits | AS 2201.46 | |
| 7 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to user access: · The firm did not identify and test any controls over the approval of access for new employees to these IT systems. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 8 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to user access: · The firm did not perform procedures to test or test any controls over the accuracy and completeness of certain system-generated reports used in the firm's testing of access for active and terminated employees to certain of the issuer's IT systems. (AS 1105.10) Both financial statement and ICFR audits | AS 1105.10 | |
| 9 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to user access: · The firm selected for testing a review control designed to ensure that access levels are appropriate. The firm did not evaluate the specific procedures performed by the control owners to evaluate whether access continued to be appropriate. (AS 2201.42 and .44) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44 | |
| 10 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to change management: · The firm selected for testing a change management control over one of the IT systems. The firm did not perform procedures to test or test any controls over the completeness of the population of changes from which it made its selections to test this control. (AS 1105.10) Both financial statement and ICFR audits | AS 1105.10 | |
| 11 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to change management: · The firm selected for testing a change management control over one of the IT systems. The firm did not identify and test any controls over certain configuration changes to the system. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 12 | Long-Lived Assets | The issuer used multiple information-technology (IT) systems to initiate process and record long-lived assets and related transactions including certain systems maintained by external service organizations. In its testing of controls over long-lived assets the firm tested various automated and IT-dependent manual controls that used data and reports generated or maintained by these IT systems. With respect to change management: · The firm did not identify and test any change management controls over one of the other IT systems. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 13 | Long-Lived Assets | The firm obtained service organization reports on internal controls related to certain of the issuer's IT systems. The firm did not sufficiently test the relevant complementary user entity controls given the deficiencies identified above in testing ITGCs. (AS 2201.42 .44 and .B22) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44; AS 2201.B22 | |
| 14 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · For a control over impairment testing the firm used the results of its substantive testing as evidence that this control was operating effectively. The firm's procedures did not provide sufficient appropriate audit evidence because the firm did not directly test the review procedures that the control owner performed. (AS 2201.42 .44 and .B9) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44; AS 2201.B9 | |
| 15 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · The firm did not identify and test any controls over the accuracy and completeness of data used in the operation of the control. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 16 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · For a control over the allocation of purchase price for long-lived assets acquired as a group the firm used the results of its substantive audit procedures as evidence of the effectiveness of the control. The firm did not evaluate the specific review procedures performed by the control owner to evaluate the methods and assumptions used by the issuer-engaged specialist in the purchase price allocation. (AS 2201.42 .44 and .B9) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44; AS 2201.B9 | |
| 17 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · The firm did not identify and test any controls over the accuracy and completeness of a certain issuer listing used in the operation of the control. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 18 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · For a control over useful lives the firm did not evaluate the specific review procedures that the control owner performed to evaluate the useful lives of the assets. (AS 2201.42 and .44) Both financial statement and ICFR audits | AS 2201.42; AS 2201.44 | |
| 19 | Long-Lived Assets | The firm also selected for testing certain review controls over long-lived assets and related transactions. The following deficiency was identified: · For a control over asset-related disclosures in the financial statements the firm did not identify and test any controls over the accuracy of reports and schedules used in the operation of the control beyond testing one control over the useful life data discussed above. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 | |
| 20 | Long-Lived Assets | The firm did not identify and test any controls over the issuer's classification of certain long-lived assets. (AS 2201.39) Both financial statement and ICFR audits | AS 2201.39 |