FEI's Small Public Company Task Force sent a comment letter to the Securities and Exchange Commission (SEC) on March 30, in response to the recommendations included in the February 28 Exposure Draft (ED) issued by the SEC Advisory Committee on Smaller Public Companies (ACSPC).
Summary of Comment Letter In its comment letter, FEI's Small Public Company Task Force "agree[d] with the recommendation in the ED that further guidance is needed to address the core issue identified by the SEC ACSPC: to improve the cost-benefit equation of complying with Section 404."
Specifically, the comment letter stated, such guidance should come in the form of "right-sizing" PCAOB's Auditing Standard No. 2, "An Audit of Internal Control Performed in Conjunction with an Audit of the Financial Statements" (AS2), either in a separate standard, or in AS2 itself, to address the needs of small and large companies. Further, the comment letter stated, "The "right-sized" standard can reflect learnings of the SEC ACSPC as well as information provided at the upcoming May 10, 2006 SEC-PCAOB roundtable [on internal control]."
See full Article.
Posts
