Preparing for 2021 Audits – Considerations for Management and Auditors

CPE credit (NASBA QAS Self-Study) is available by completing and passing the program’s CPE Review & Exam.

Upon the successful completion of this program, the participant will be able to:

• Recall emerging information technology issues to assist in cybersecurity readiness and response, and IT general controls (ITGCs) testing and evaluation of relevance and reliability of data.
• Recognize recurring deficiencies noted by the PCAOB to help auditors and companies identify high-risk accounting and other potential problem areas in internal control over financial reporting (ICFR).
• List frequent audit firm deficiencies identified by the PCAOB in areas including independence, engagement quality review, and documentation deficiencies.
• Identify PCAOB best practices identified for the auditor and for the audit committee.

Course Overview:

This program will focus on:

• Emerging issues with the rise of information technology:
  • Cybersecurity including audit considerations as to whether there is a known breach
  • Relevance and reliability of information, including examination of new PCAOB Staff guidance
  • Impact of effective ITGCs for business process controls and information produced by the entity
• Common audit deficiencies including common findings within issuer audits, such as ICFR, revenue, accounting estimates, inventory, critical audit matters, and independence concerns.
• The increasing focus on audit documentation.
• The PCAOB’s observations of good practices for auditors.
• Key issues for audit committees and management in working with auditors in 2021.
• Auditor considerations for imminent changes to firms’ systems of quality management.

CPE Program Level:  Update 

Intended Audience:  CPAs, accountants, attorneys, and other allied professionals who deal with SEC reporting and disclosure and related accounting issues, including chief financial officers (CFOs), controllers and their staff, internal auditors, partners of public accounting firms and their staff, in-house counsel, and outside attorneys.

Prerequisites:  A basic understanding of annual audit issues and considerations for management and auditors.

Advanced Preparation:  None

Instructional Method: QAS Self-Study

Updated: March 2022

Credit Information: 1 CPE credit is available upon completion of this program’s 3 content-review questions and a minimum passing score of 70% on the 5-question final exam.