Comments on: Auditing Standard 5 – Repealing the AA/Enron Rule

By: re: The Auditors » Blog Archive » Mortgage Bankers And The Futures Industry – Two Big Conferences In Chicago This Week

Mon, 10 Oct 2011 04:47:55 +0000

[...] – and also force the partners who won the work to share the spoils with their colleagues. Better to subcontract or use an offshore firm to keep everyone aware of who is boss and who owns the [...]

By: Navistar Sues Deloitte Proving No Statute of Limitations On Idiocy - Francine McKenna - Accounting Watchdog - Forbes

Wed, 06 Jul 2011 16:27:10 +0000

[...] the pressure on clients that reached a peak in 2006 because of their own litigation anxiety when Auditing Standard 5 was enacted in 2007. That set of policies and procedures, enacted by the new accounting regulator, [...]

By: re: The Auditors » Blog Archive » Brave New World Or How I Know What You’re Thinking

Thu, 07 Jan 2010 19:25:05 +0000

[...] Auditing Standard 5 – Repealing the AA/Enron Rule 2. Re: The Auditors (This means people are going directly to the blog, they know the address and [...]

By: Francine McKenna: Sarbanes-Oxley for Everyone: To Be or Not To Be? | News from: The Huffington Post - Breaking News and Opinion

Thu, 10 Dec 2009 18:40:32 +0000

[...] on the financial statements with the opinion on the internal controls over financial reporting in Auditing Standard 5. This was a change I disagreed with and I told Chris Cox that. It allows larger companies to have [...]

By: re: The Auditors » Blog Archive » Sarbanes-Oxley For Everyone: To Be Or Not To Be? (With Postscript)

Tue, 08 Dec 2009 04:07:36 +0000

By: re: The Auditors » Blog Archive » Dominance of the Big 4 Under Attack - Really?

Mon, 06 Jul 2009 23:42:09 +0000

[...] others here in the US. Instead we have the new lobbying group, Center for Audit Quality, and the SEC/PCAOB rolling back Sarbanes-Oxley, and the New York study claiming New York is losing ground as a financial center to London because [...]

By: re: The Auditors » Blog Archive » The Auditor’s Chinese Wall - Is SOx Still A Keystone?

Fri, 20 Feb 2009 15:15:32 +0000

[...] in January of 2007, right after the adoption of Auditing Standard 5 by the PCAOB, I made this prediction regarding this new standard and two others proposed at the time, Proposed Auditing Standard – Considering and Using the Work of Others and Proposed Rule 3525 – [...]

By: Anonymous

Anonymous — Sun, 01 Apr 2007 01:18:00 +0000

Do you think this willl lead to layoffs in the audit practices of the Big 4?

By: Re:TheAuditors

Re:TheAuditors — Mon, 29 Jan 2007 00:38:00 +0000

Dear M.D.,

Thanks for your comment. I’m going to answer more fully in a separate post tonight. But in short, I think the Big 4 will always find a way to make more money, preferably from existing clients (their audit clients) than from new ones. That’s because their strengths lie (and their structure lends itself more to) maintaining client relationships than new business development and marketing.

By: M.D. Fatwa

M.D. Fatwa — Sun, 28 Jan 2007 22:54:00 +0000

I know I asked you this before, but do you think the new provisions will lower audit costs (with the little firms just getting a smaller share of a shrinking pot), or will the
Big 4 figure out how to keep the costs up? Does AS 5 create any incentives for companies to have smaller firms run part of the audit to keep overall costs
down?

Also, excellent points on AS5!