The PCAOB has adopted a set of amendments to its auditing standards to strengthen the rules that apply to audits involving multiple audit firms with new requirements for a lead auditor’s use of other auditors.
The changes aim to improve the quality of audits in which other accounting firms or individual accountants perform essential work on the audit for the same company. The changes require firms to be more careful about who they hire and to make sure they are following the appropriate audit procedures.
Working with other auditors can differ from working with people in the same firm, creating challenges in coordination and communication, the PCAOB explained. Learn more.