PCAOB Staff provides guidance in advance of CAM effective dates

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Mar 18, 2019

On March 18, 2019, the Public Company Accounting Oversight Board released three staff guidance documents developed to support implementation of the new critical audit matter (CAM) requirements.

Auditors will soon be required to communicate CAMs in the auditor’s report under the standard, AS 3101, "The Auditor’s Report on an Audit of Financial Statements When the Auditor Expresses an Unqualified Opinion".

The staff guidance consists of the following:

  1. a high-level overview of CAM requirements
  2. thematic observations that arose from the Office of the Chief Auditor’s review of audit firms’ CAM methodologies
  3. a deeper dive on the determination of CAMs

While these documents primarily offer insights for auditors, the high-level overview—“The Basics”—may also be of interest to preparers, audit committees, and investors.

Review the press release on the PCAOB's website.

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