The purpose of this mini-research project is to help generate ideas and experien
ID: 2405200 • Letter: T
Question
The purpose of this mini-research project is to help generate ideas and experience for the final research project.
Go to https://pcaobus.org/Inspections/Reports/Pages/default.aspx
Do a search for revenue recognition. You should get 175 results (as of May 28, 2018).
Further narrow your search by limiting the inspection report year to 2017. You should get 13 results (as of May 28, 2018), including three of the Big 4:
Ernst & Young LLP
Deloitte & Touche LLP
KPMG LLP
Repeat the search for 2016. This time there are 11 results, including three of the Big 4
Ernst & Young LLP
Deloitte & Touche LLP
PricewaterhouseCoopers LLP
Next, open each of the six reports. First do a word search for revenue recog (not recognition; do you know why not?). Record the number of times mentioned in each report. Then do a broader search for just the word revenue. You should get a lot more instances. Please complete the table below.
Number of instances of revenue recognition in the report
2016
2017
Revenue “Reocg”
Revenue
Revenue “Reocg”
Revenue
Ernst & Young LLP
Deloitte & Touche LLP
KPMG LLP
NA
NA
PricewaterhouseCoopers LLP
NA
NA
Questions:
1. What pattern do you notice?
2. Why did I tell you to search for revenue Reocg, not recognition?
3. Describe one situation that you understood and/or found interesting. Properly cite that report.
4. Please include a proper reference for all the reports:
Example (This is Ernst & Young 2017, even though it covers the 2016 inspection):
PCAOB (Public Company Accounting Oversight Board, 2017b). Report on 2016 Inspection of Ernst & Young LLP (Headquartered in New York, New York) Issued by the Public Company Accounting Oversight Board December 19, 2017. PCAOB RELEASE NO. 104-2018-018
https://pcaobus.org/Inspections/Reports/Documents/104-2018-018-Ernst-Young.pdf
I labeled this 2017b because the Deloitte report will be 2017a, since it comes first alphabetically.
Number of instances of revenue recognition in the report
2016
2017
Revenue “Reocg”
Revenue
Revenue “Reocg”
Revenue
Ernst & Young LLP
Deloitte & Touche LLP
KPMG LLP
NA
NA
PricewaterhouseCoopers LLP
NA
NA
Explanation / Answer
1. What pattern do you notice?
Revenue was used more often then revenue reocgnition or revenue recognized !!
2. Why did I tell you to search for revenue Reocg, not recognition?
In 2016 the firms used the word recognition and in 2017 all used recognized
3. Describe one situation that you understood and/or found interesting. Properly cite that report.
In EY 2016 report, term Revenue Recognition was used 9 times, way more then used in other reports.
Number of instances of revenue recognition in the report 2016 2017 Revenue “Reocg” Revenue Revenue “Reocg” Revenue Ernst & Young LLP 9 79 2 67 Deloitte & Touche LLP 1 45 1 31 KPMG LLP NA NA 0 6 PricewaterhouseCoopers LLP 0 33 NA NARelated Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.