New guidance on assessing the external auditor
The Center for Audit Quality (CAQ) has released new guidance for audit committees that will assist them in their oversight of the external auditor.
However, should the fox advise on its own oversight? The CAQ is an arm of the AICPA and while the guidance is useful, it is not independent.
My advice is for the audit committee to engage with the internal auditor to develop a robust process for assessing the performance of the external auditor. In addition to the questions in the CAQ guide, the committee should consider:
For more, please see this other post, which includes a link to a form I used in the past to assess auditor performance.
I welcome your comments.