X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WILL CRITICS BE SATISFIED?Now that regulators have released their proposals for overhauling compliance guidelines for Section 404 of the Sarbanes-Oxley Act, the real work begins as auditors, consultants and corporate executives pore over the details during the comment periods. Following years of complaints about excessive compliance costs and redundant testing, the Securities and Exchange Commission (SEC) and the Public Company Accounting Oversight Board (PCAOB) are finally tackling the problems by issuing both new guidance for company executives and a revised rule for auditors. But will the changes bring sufficient relief from high audit costs?

James Clendenen, engagement director for the risk and consulting section of Parson Consulting, contends that the vast majority of his clients already use the top-down, risk-based approach to their 404 assessments that the SEC is calling for in its new guidance. “It is beneficial in that it will allow companies to look to the SEC for guidance in how it performs its management assessment, but I don’t think it’s going to be a dramatic decrease in cost or workload,” says Clendenen. The SEC had not issued the final written guidance at press time.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

 

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk
Live Chat

Copyright © 2022 ALM Media Properties, LLC. All Rights Reserved.