Name: PowerPoint Presentation
Uploaded: 2022-07-28
Duration: 5 min 15 s
Description: Welcome to our series on SOX Key Reports Testing!.

Welcome to our series on SOX Key Reports Testing!. 

Scene 1

Welcome to our series on SOX Key Reports Testing!

Presented by SOX Key Reports – your one-stop resource

Today we will answer the basics questions about SOX key reports:

What is a SOX key report or information used in a control (IUC)?

I suggest you watch the video. It’s easier to understandif you are a visual/audio learner.

Logo icon Description automatically generated

Top questions about SOX key reports. 1. What is a SOX key report or information used in a control (IUC)?. 

Scene 2

What is a SOX  key report or information used in a control (IUC)?

A picture containing graphical user interface

Description automatically generated

A picture containing text stationary businesscard envelope Description automatically generated

Top questions about SOX key reports. What is a SOX key report or information used in a control (IUC)?. 

Scene 3

Reports organize and summarize the data within a company based on specified criteria

A report can be a simple list of transactions, or a complex compilation of inputs from various systems and sources

Management relies on these reports when making decisions, communicating with the public, and financial reporting

A note about terminology – There are a few different terms that auditors use when referencing SOX key reports. They are essentially referring to the reports, or data, produced by the client.

Internal Controls over Financial Reporting (ICFR)

A picture containing application

Description automatically generated

Top questions about SOX key reports. What is a SOX key report?. 

Scene 4

A screenshot of a video game Description automatically generated with low confidence

When addressing SOX compliance, the data or information or reports you use to perform your internal controls are your “key” reports

An important step in preparing for SOX compliance is to take an inventory of the reports you rely on for managing your financial reporting tasks

Top questions about SOX key reports. Why are SOX key reports tested?. 

Scene 5

Report testing has received a lot of focus by external auditors and the PCAOB

The PCABO is closely scrutinizing the procedures external auditors use to validate the accuracy and completeness of information provided to them by their clients

This means that your external auditors will closely scrutinize the procedures your company uses to validate the accuracy and completeness of the reports you rely on for your internal controls and compliance with SOX

Management must be able to demonstrate that it understands where the data comes from for reports and that it is reliable

Scene 6

Accurate data is essential Management uses system-generated reports to make judgements  for booking journal entries or recording financial transactions, and  this impacts the financial statements

Scene 7

As a public company you are not only offering stock, but also the confidence that the information you provide is reliable, whether reviewed internally or by external auditors

When your company reaches Accelerated Filer status it will need to comply with SOX 404B, which means external auditors will test your internal controls

Scene 8

External auditors need to know the information you used to support your internal controls and financial reporting is complete and accurate

If you are being audited, perhaps by one of the “Big Four” (Deloitte, EY, PWC, or KPMG), or “Big Six” (including BDO and Grant Thornton), a team of SOX and audit experts will review your key reports testing

Top questions about SOX key reports. When are SOX key reports tested?. 

Scene 9

Many SOX compliance activities are performed only once a year

Certain key reports are tested only every few years on a rotating basis

Graphical user interface, application

Description automatically generated

Top questions about SOX key reports. Who should test a SOX key report?. 

Scene 10

Since this is an activity that is not done regularly, it’s hard for a company to hire someone in house who is experienced at this kind of work

Not having an expert test your key reports can be an inefficient use of resources

Co-sourcing with a third-party can be a great way to avoid errors or deficiencies (or even worse, material weaknesses)

A picture containing room Description automatically generated

Thank you for watching!. SOX Key Reports www.keyreports.com ** EMAIL ADDRESS ** Your one-stop resource for SOX Key Reports. 

Scene 11

SOX Key Reports www.keyreports.com **  EMAIL ADDRESS  ** Your one-stop resource for SOX Key Reports

PowerPoint Presentation

Page 1 (0s)

Page 2 (38s)

Page 3 (54s)

Page 4 (1m 53s)

Page 5 (2m 15s)

Page 6 (3m 3s)

Page 7 (3m 18s)

Page 8 (3m 50s)

Page 9 (4m 26s)

Page 10 (4m 46s)

Page 11 (5m 10s)