PCAOB:established by Sarbanes-Oxley Act,appointed and overseen by the SEC.职责:Provides oversight for auditors of public companies;establishes auditing&quality control standards for public company audits;performs inspections of the quality controls at audit firms performing those audits. The PCAOB conducts inspections of registered accounting firms to assess their compliance with the rules of the PCAOB and SEC,professional standards,and each firm's own quality control policies.The PCAOB requires annual inspections of accounting firms that audit more than 100 issuers and inspections of other registered firms at least once every three years.
Tests of controls:1)the procedures to test effectiveness of controls in support of a reduced assessed control risk.2)procedures for tests of controls:make inquiries of appropriate client personnel;examine documents,records,reports;observe control-related activities;reperform client procedures.3)extent:The extent to which tests of controls are applied depends on preliminary assessed control risk.If the auditor wants a lower assessed control risk,more extensive tests of controls are applied,both in terms of the number of controls tested and the extent of the tests for each control.When auditors plan to use evidence about the operating effectiveness of internal control obtained in prior audits,SAS 110 requires them to test their effectiveness at least every third year.If auditors determine that a key control has been changed since it was tested,they should test it in the current year.
Working Papers:is the principal record of auditing procedures applied,evidence obtained,and conclusions reached by the auditor in the engagement.It should include all information the auditor considers necessary to adequately conduct the audit and to provide support for the audit report.①Purposes(a basis for planning the audit;a record of the evidence accumulated&the results of the tests;data for determining the proper type of audit report;a basis for review by supervisors &partners)②ownership of audit files③confidentiality of audit files④requirements for retention of audit documentation(public company≥7 years;private company≥5 years)⑤contents (permanent¤t files)