If any extra motivation is needed to take that last sick day of the year around the holidays feel free to justify it with SEC filing data. Over the past five years there’s been a decrease in filings of about 50% … Continue reading
Monthly Archives: December 2016
Early Adoption of ASC 606: first glance
In a recently released tool for the Audit Committees, the Center for the Audit Quality stated that it is “urgent that audit committees understand how management is assessing the impact of the new revenue recognition standard”. ASC 606 (which is … Continue reading
Warning Signs Leading to Securities Litigation
Over the past 10 years, major drivers behind securities litigation were either financial restatements and misrepresentations or significant corporate events (such as IPOs and M&A activity). Material restatements are very likely to trigger a legal action. Yet, the key question that … Continue reading
Disclaimer of Opinion – have you ever seen one?
Non-standard audit opinions got their fair share of attention earlier this year in conjunction with the late filing of Valeant Pharmaceuticals. For Valeant, getting anything but a clean, non-qualified opinion could have meant a default on substantial loans. It has been … Continue reading
Auditor Tenure and Auditor Rotation Among the Russell 1000
Last year, we looked at a sample of auditor tenure and auditor rotation among the Russell 3000. In that post we found that long auditor tenure is quite common in the U.S. and auditor turnover remains consistently low. In this … Continue reading
SEC Comment Letters: A Look at Top Issues in 2016
Each year, Audit Analytics looks at the big picture of comment letter activity to see what important issues the SEC is focusing on, and how they compare to prior years. In the first half of 2016, 2,491 comment letters 1 (1,452 … Continue reading
White Paper Highlights EGC Characteristics
In a recently released white paper, staff at the Office of Research and Analysis of the PCAOB provided some insight into so-called “Emerging Growth Companies”. Emerging Growth Companies are a relatively new class of SEC registrants. Defined under the JOBS … Continue reading