Sarbanes-Oxley Act Implementation:
Sarbanes-Oxley Act Implementation: What We Have Learned and Future Directions
The Sarbanes-Oxley Act reforms are sound and necessary
Reforms have improved governance and management, including the involvement of the board, audit committees, and top management in financial reporting and internal control issues.
Implementing section 404 has been challenging due to:
- The amount and nature of internal control work performed in the past
- Extensive audit work being performed due to real and/or perceived lack of flexibility in PCAOB Auditing Standard No. 2
- Significant first-year implementation efforts
