The Center for Audit Quality (CAQ) has conducted an analysis of restatements announced over the decade (2013 – 2022). Restatement activity is commonly referenced as a measure of financial reporting quality; therefore, a periodic review of associated trends may be of interest to investors and other users of financial statements....

On April 9, 2024, the PCAOB issued two proposals, Firm and Engagement Metrics, and Firm Reporting, that would expand reporting requirements by requiring audit firms to make publically available both firm-wide and individual client engagement information. Comments on both proposals are due June 7, 2024. The metrics the PCAOB has proposed...

The Center for Audit Quality is pleased to release this research to further understand capital market stakeholder information needs. Capital markets operate on trust and transparency, and understanding investor information needs as they allocate capital is necessary to build and maintain both. To reach a broad range of institutional investors, the...

Collective interest in and awareness of generative AI (genAI) has grown exponentially since the public release of several genAI chatbots powered by large language models beginning in November 2022. While artificial intelligence (AI) and machine learning are not new, the accessibility and ease of use provided by genAI chatbots and...

On March 6, 2024, the Securities and Exchange Commission adopted The Enhancement and Standardization of Climate-Related Disclosures for Investors. The final rule requires a registrant to disclose certain climate-related information in its registration statements and annual report. The rule aims to provide investors with consistent, comparable, and reliable information about the...

As the regulatory environment grows in complexity and organizations address new and continuing challenges, additional expectations are placed on audit committees. The scope of their responsibilities continues to expand beyond the traditional remit of financial reporting and internal controls, internal and external audit, and ethics and compliance programs. Topics like...

Over the last few years, with growing interest in reliable, decision-useful, ESG information, the Center for Audit Quality has been focused on ESG reporting and assurance: analyzing reporting and assurance trends among S&P 500 companies, highlighting the role of the auditor in climate-related information and responding to key requests for...

Understanding how consumers perceive and utilize financial and non-financial corporate information is crucial for promoting transparency, trust, and stability in financial markets. To address this, the Center for Audit Quality (CAQ) is engaging investors to understand their attitudes on assurance and corporate reporting issues specific to U.S. capital markets. To reach...