Board to Meet Tuesday on Internal Control
The Public Company Accounting Oversight Board has scheduled an open meeting for 11 a.m. Tuesday, Nov. 30, 2004, to consider issues related to the implementation of Auditing Standard No. 2 and the required audits of internal control over financial reporting.
The meeting will be held in the Board’s hearing room at 1666 K St. NW, Washington, D.C.
Section 404(a) of the Sarbanes-Oxley Act of 2002, and the Securities and Exchange Commission's related implementing rules, requires the management of a public company to assess the effectiveness of the company's internal control over financial reporting. Section 404(b) of the Act, as well as Section 103, directed the PCAOB to establish professional standards governing the independent auditor's attestation, and reporting, on management's assessment of the effectiveness of internal control.
The Board adopted Auditing Standard No. 2, "An Audit of Internal Control Over Financial Reporting Performed in Conjunction with an Audit of Financial Statements," on March 9, 2004. The standard addresses both the work that is required to audit internal control over financial reporting and the relationship of that audit to the audit of the financial statements.