09-20-2005, 09:41 AM
<b>Corrections</b>
1. PCAOB is the body created to ensure compliance of <b>US public companies, their subsidiaries and foreign issuers of equity listed in US stock exchanges </b> with SARBANES OXLEY act of 2002 most notably the section 404 compliance. So not all US companies are required to comply with it.
2. the act and 404 compliance deals with Internal controls over financial reporting only .
3. PCAOB presrcibes COSO as one of several frameworks a company can employ to assure compliance with 404. So, COSO is not a requirement or exclusive framework.
4. COSO itself is more encompassing and in some areas deficient than what is required for 404 compliance; accordingly it always needs to be modified to include or exclude additional processes to complete the compliance process.
Finally, I would also like to see the reference to the directive where COSO is made mandatory in Pakistan. Thanks.
1. PCAOB is the body created to ensure compliance of <b>US public companies, their subsidiaries and foreign issuers of equity listed in US stock exchanges </b> with SARBANES OXLEY act of 2002 most notably the section 404 compliance. So not all US companies are required to comply with it.
2. the act and 404 compliance deals with Internal controls over financial reporting only .
3. PCAOB presrcibes COSO as one of several frameworks a company can employ to assure compliance with 404. So, COSO is not a requirement or exclusive framework.
4. COSO itself is more encompassing and in some areas deficient than what is required for 404 compliance; accordingly it always needs to be modified to include or exclude additional processes to complete the compliance process.
Finally, I would also like to see the reference to the directive where COSO is made mandatory in Pakistan. Thanks.
