Postcard from the AICPA SEC Conference - Part 2

Day one continued at the AICPA Conference on Current SEC and PCAOB Developments in Washington, DC. The afternoon of day one had several informative sessions including two panel discussions, one on Internal Control over Financial Reporting (ICFR) and the other on Management Discussion and Analysis (MD&A).  Both of these panels had representatives from several disciplines in the industry.

During the ICFR panel discussion, it was noted that improvements have been made on the documentation and testing of management review controls.  However, one of the rising challenges surrounds the risk assessment process.  It was noted that often times management’s risk assessment may be different than the external auditor’s risk assessment.  Both preparers and auditors on the panel agreed that early and continuous communication on the risk assessment and the controls being tested is something that will help resolve some of these issues. 

During the MD&A panel discussion, the panelists discussed some common themes on how the MD&A can be enhanced.  Enhancements discussed include eliminating duplicative information and adding tables, charts or other info-graphics to communicate information in a clearer manner.  The panel also discussed the potential need for companies to revisit the risk factors that they identify, as the industry, the economy, their operations and other factors change.  A broader filing comment that the panel drove home was to ensure that all of information that a registrant issues needs to be consistent, whether it is in a press release, earnings call, or 10Q/10K.

Please visit the Our Thoughts On blog to read more of our updates from the AICPA SEC Conference.

You’ve heard our thoughts… We’d like to hear yours

The Schneider Downs Our Thoughts On blog exists to create a dialogue on issues that are important to organizations and individuals. While we enjoy sharing our ideas and insights, we’re especially interested in what you may have to say. If you have a question or a comment about this article – or any article from the Our Thoughts On blog – we hope you’ll share it with us. After all, a dialogue is an exchange of ideas, and we’d like to hear from you. Email us at [email protected].

Material discussed is meant for informational purposes only, and it is not to be construed as investment, tax, or legal advice. Please note that individual situations can vary. Therefore, this information should be relied upon when coordinated with individual professional advice.

© 2024 Schneider Downs. All rights-reserved. All content on this site is property of Schneider Downs unless otherwise noted and should not be used without written permission.

our thoughts on
Audit BY Erin Puko-Wilking
2024 Audit Plan Hot Spots
Cap Table Basics for Startup Companies
Potential Accounting Changes for Environmental Credits
PCAOB’s New Standard Enhances Auditors’ Use of Confirmations
Single Audit Reporting Reminders
Understanding Coronavirus State and Local Fiscal Recovery Funds Audit and Reporting Requirements
Register to receive our weekly newsletter with our most recent columns and insights.
Have a question? Ask us!

We’d love to hear from you. Drop us a note, and we’ll respond to you as quickly as possible.

Ask us
contact us
Pittsburgh

This site uses cookies to ensure that we give you the best user experience. Cookies assist in navigation, analyzing traffic and in our marketing efforts as described in our Privacy Policy.

×