PCAOB Issues Interim Analysis Report on Critical Audit Matters
October 30, 2020
The PCAOB has issued an interim analysis report, Evidence on the Initial Impact of Critical Audit Matter Requirements, which evaluates the overall effect of the critical audit matter (CAM) requirements on stakeholders in the audit process. Key findings of the report include:
- “Audit firms made significant investments to support initial implementation of the CAM requirements.”
- “Investor awareness of CAMs communicated in the auditor's report is still developing, but some investors are reading CAMs and find the information beneficial.”
- “The staff has not found evidence of significant unintended consequences from auditors' implementation of the CAM requirements for audits of large accelerated filers in the initial year.”
In addition, the interim analysis report is accompanied by two white papers:
For more information, see the press release on the PCAOB’s Web site.