Post-Implementation Review: Auditing Standard No. 7, Engagement Quality Review

Request for Comment

The comment deadline has passed.

The staff is seeking comment on the overall effect of AS 7, including with respect to any or all of the following questions:

  • Has AS 7 accomplished its intended purpose? In particular, has the implementation of AS 7 increased the likelihood that a registered public accounting firm will detect significant engagement deficiencies before the audit report is issued? Do engagement quality reviews performed under AS 7 provide for a meaningful check on the audit work performed by the engagement team?
  • Do users of financial statements believe that the implementation of AS 7 has affected the credibility of financial reporting?
  • What have been auditors' experiences with implementation of AS 7? How did the implementation of AS 7 change practice? Has the implementation of AS 7 given rise to any unintended consequences or changes?
  • What have been preparers' and audit committees' experiences with the implementation of AS 7? How did the implementation of AS 7 change practice from their perspectives? Has the implementation of AS 7 given rise to any unintended consequences or changes?
  • What have been the initial and recurring costs and benefits associated with the implementation of AS 7 from the perspectives of auditors, preparers, audit committee members, investors and other users of financial statements?
  • Could AS 7 be refined or improved to better achieve its intended purpose? If so, how?

All interested parties are encouraged to comment.  

Please note the post-implementation review number and title in the email subject line or, if by postal mail, in a reference line at the beginning of your comments.

All comments are made public and posted on the PCAOB website. You are encouraged, but not required, to provide your name and professional affiliation.

 Request for Comment

No. Title Status
2016-01 Post-Implementation Review: Auditing Standard No. 7, Engagement Quality Review​​ Co​​mment Period Closed​​​​​​​​​​​​

Comment Letters

No. Author Company/Organization Date
1PDF Paul Rohan, CPA, Partner, National Director of Financial Reporting and Quality Control UHY LLP May 12, 2016
2PDF Jerilyn K. Barthel, CPA, Chair, Professional Standards Committee Texas Society of Certified Public Accountants June 10, 2016
3PDF Tom Quaadman, Senior Vice President U.S. Chamber of Commerce, Center for Capital Markets Competitiveness June 30, 2016
4PDF PricewaterhouseCoopers LLP June 30, 2016
5PDF Cynthia M. Fornelli, Executive Director Center for Audit Quality July 1, 2016
6PDF Thomas Heaton Spitters, CPA – Member IAAER July 4, 2016
7PDF Deloitte & Touche LLP July 5, 2016
8PDF Grant Thornton LLP July 5, 2016

 ‭(Hidden)‬ Supplemental Materials