tailieunhanh - OBSERVATIONS FROM 2010 INSPECTIONS OF DOMESTIC ANNUALLY INSPECTED FIRMS REGARDING DEFICIENCIES IN AUDITS OF INTERNAL CONTROL OVER FINANCIAL REPORTING

Co-operative movement in Tripura started in 1949 and over the years there has been a gradual expansion in size, numbers and volume of operations of Co-operative Societies in the State. Now Co-operative Societies of diversified activities have come up and with the growth of the Co-operative movement its accounting system also gets complicated. Audit of Co-operatives has become a big job to complete it in time maintaining the quality and efficiency. With development in the Co-operative movement internal structures and procedures in some areas are required to be strengthened and audit of accounts is such an area. The existing. | PCAQB Public Company Accounting Oversight Board 1666 K Street . Washington DC 20006 Telephone 202 207-9100 Facsimile 202 862-8430 OBSERVATIONS FROM 2010 INSPECTIONS OF DOMESTIC ANNUALLY INSPECTED FIRMS REGARDING DEFICIENCIES IN AUDITS OF INTERNAL CONTROL OVER FINANCIAL REPORTING PCAOB Release No. 2012-006 December 10 2012 PCAQB Public Company Accounting Oversight Board Executive Summary The Public Company Accounting Oversight Board the PCAOB or the Board is issuing this report to provide information about the nature and frequency of deficiencies in firms audits of internal control over financial reporting detected during the PCAOB s 2010 inspections of eight domestic registered firms that have been inspected every year since the PCAOB s inspection program began firms or registered firms BDO Seidman LLP Crowe Horwath LLP Deloitte Touche LLP Ernst Young LLP Grant Thornton LLP KPMG LLP McGladrey LLP and PricewaterhouseCoopers LLP. In an audit of internal control over financial reporting audit of internal control the auditor s objective is to express an opinion on the effectiveness of the company s internal control over financial reporting internal control . Under SEC rules a company s internal control cannot be considered effective if one or more material weaknesses in internal control exist. Thus under PCAOB Auditing Standard No. 5 An Audit of Internal Control Over Financial Reporting That Is Integrated with An Audit of Financial Statements AS No. 5 the auditor must plan and perform the audit to obtain reasonable assurance about whether material weaknesses exist as of the date specified in management s assessment which generally is the date of the company s annual financial statements. An audit of internal control includes among other things assessing the risk that material weaknesses exist testing important entity-level controls and important controls over significant financial statement accounts and disclosures based on the assessed risks and .