Audit. Audit. Acc 462 : 
AICPA, Professional Standards, AU-C sec. 940.

You will become experts on an “emerging topic” in auditing. In order to become experts, you will need to select a topic that is currently proposed for standard setting by one of the following organizations: (1) Public Company Accounting Oversight Board (“PCAOB” – U.S. public company audit regulator), (2) Auditing Standards Board of the AICPA (U.S. private company audit regulator), or (3) International Auditing and Assurance Standards Board (“IAASB” – international audit regulator). 
You will provide a written proposal document with supporting documentation for the required items below (50% of total grade). On the day of the presentation, you will give a 10 minute presentation of the issue and your view of the ideal path that the audit regulator should take.

Required Items:

1. Cite and briefly summarize the current relevant auditing standards for each of the audit environments (PCAOB, ASB, IAASB).
2. Read either all of the comment letters (if less than 20) or select 20 representative comment letters on the topic that span all relevant parties. Relevant users include financial statement preparers, external auditors, investors, government agencies, academics, and others. Prepare a table that lists which comment letters were read.
3. Tabulate the comment letter authors’ views and write roughly ½ page describing the views of each constituency group (e.g. financial statement preparers).
4. Write a two-page, double-spaced argument based upon items #1-4 of what your view is on the issue and your reasons for your stance. 

Your grade, except as noted below, will be based upon two parts: 
• Clarity and completeness in covering items #1-5 in your written proposal (50% of total). 
• Ability to present items #1-5 in your oral presentation (50% of total). Each member of your group must talk during the presentation and while you may use note cards, do not read from your written report! It should be readily apparent that you understand your written material and I will ask at least one question of each group following the presentation.


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