December 05, 2005
PCAOB Increases Head Count and Adds Inspectors
Even though they are decreasing fees to registered firms, the PCAOB is increasing its numbers of inspectors. Look for more unflattering reports of registered firms. Seems fair though. Make sure the firms that audit have the same high standards they are requiring under Audit Standard #2 from registrants.
Excerpt from an article:
"2006 PCAOB Budget Approved
AccountingWEB.com - December 05, 2005 - The Public Company Accounting Oversight Board (PCAOB) has approved its 2006 budget of $128 million. The accounting industry regulatory agency will use a $19 million excess from a 2005 budget to reduce the 2006 accounting support fee paid by publicly traded companies according to Reuters.
Accounting support fee assessments of $109.3 million are projected for 2006 while $136.1 million in fees were assessed in 2005 according to the Compliance Reporter. The approved budget has been passed onto the Securities and Exchange Commission (SEC) for final approval according to Reuters. The SEC supervises the PCAOB.
In addition to lower accounting support fees, the PCAOB expects to increase its headcount to 537 employees, including up to 280 inspectors. Their current projected 2005 headcount is 427, with a total inspection staff of 200. Other budget expense items reflected in the new budget include staff training, significant travel, and the maintenance of seven offices other than the Board’s Washington, DC headquarters.
The PCAOB is mandated to oversee auditors of public companies under the Sarbanes-Oxley Act of 2002. Currently 1,586 public accounting firms are registered with the PCAOB and 640 of those are located outside of the U.S., according to the PCAOB’s prepared statement. Annual inspections are required of firms with more than 100 public company clients while those firms with 100 or fewer public company clients are inspected every three years."
Click here for the complete article.
To learn more about Compliance Playbook(tm), see www.issuescentral.com to see a walk through of this award winning solution.
Excerpt from an article:
"2006 PCAOB Budget Approved
AccountingWEB.com - December 05, 2005 - The Public Company Accounting Oversight Board (PCAOB) has approved its 2006 budget of $128 million. The accounting industry regulatory agency will use a $19 million excess from a 2005 budget to reduce the 2006 accounting support fee paid by publicly traded companies according to Reuters.
Accounting support fee assessments of $109.3 million are projected for 2006 while $136.1 million in fees were assessed in 2005 according to the Compliance Reporter. The approved budget has been passed onto the Securities and Exchange Commission (SEC) for final approval according to Reuters. The SEC supervises the PCAOB.
In addition to lower accounting support fees, the PCAOB expects to increase its headcount to 537 employees, including up to 280 inspectors. Their current projected 2005 headcount is 427, with a total inspection staff of 200. Other budget expense items reflected in the new budget include staff training, significant travel, and the maintenance of seven offices other than the Board’s Washington, DC headquarters.
The PCAOB is mandated to oversee auditors of public companies under the Sarbanes-Oxley Act of 2002. Currently 1,586 public accounting firms are registered with the PCAOB and 640 of those are located outside of the U.S., according to the PCAOB’s prepared statement. Annual inspections are required of firms with more than 100 public company clients while those firms with 100 or fewer public company clients are inspected every three years."
Click here for the complete article.
To learn more about Compliance Playbook(tm), see www.issuescentral.com to see a walk through of this award winning solution.
