PCAOB Posts Resource for Audit Committees Regarding New Requirements Related to Estimates and Specialists

Today the PCAOB released a resource for audit committees on our new requirements related to auditing accounting estimates, including fair value measurements, and using the work of specialists. The requirements will take effect for audits of financial statements for fiscal years ending on or after December 15, 2020.

To help audit committees enhance their understanding in this area, this resource provides the basics of the new requirements, key takeaways for audit committees, and questions to consider asking auditors.

The Board is committed to proactively and directly communicating with audit committee members, and we hope these resources are informative and useful as we work to enhance our engagement. Please contact Stakeholder Liaison Erin Dwyer if you have feedback on this resource or if you would like to engage further with us. 

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About the PCAOB

The PCAOB is a nonprofit corporation established by Congress to oversee the audits of public companies in order to protect investors and further the public interest in the preparation of informative, accurate, and independent audit reports. The PCAOB also oversees the audits of brokers and dealers registered with the Securities and Exchange Commission, including compliance reports filed pursuant to federal securities laws.