PCAOB to develop auditing policies and procedures that promote the development of reliablefinancial reporting information. Rules adopted by the PCAOB must undergo a separate SECcomment period and be approved by the SEC before becoming effective. The PPG observes closelythe development of all the projects on the standard-setting agenda by the PCAOB Office of theChief Auditor and will consider academic studies that will help guide the group’s consideration onthese projects. Current PCAOB projects include: (1) auditor’s reporting model; (2) auditorindependence, objectivity, and professional skepticism; (3) audit transparency; (4) audits of brokersand dealers; (5) communications with audit committees; (6) part of the audit performed by otherauditors; (7) assignment and documentation of firm supervisory responsibilities; (8) quality controlstandards; (9) codification of PCAOB standards; (10) fair value; (11) specialist; (12) confirmation;(13) related parties; (14) going concern; (15) subsequent events; and (16) attestation reportingunder Regulation AB (PCAOB 2011). These projects represent the most current issues on auditingstandard-setting and are potential topics for accounting research. Accounting research on thesetopics will have the potential to influence auditing standards and the regulation of auditors.The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (U.S. Congress2010)vested the PCAOB with expanded oversight authority over the audits of brokers and dealersregistered with the SEC including inspections, enforcement, and standard-setting authority.Financial statements of broker-dealers filed with the SEC for fiscal years ending after December 31,2008, must be certified by a PCAOB-registered public accounting firm. On July 12, 2011, PCAOBproposed attestation standards for auditors of brokers and dealers, and its staff is draftingimplementation guidance on applying PCAOB standards to audits of brokers and dealers (PCAOB2011). Accounting research on these new standards and the impact of the implementation of thenew standards will be of particular interest to regulators.Staff Observations from Reviews of FilingsThe SEC’s Division of Corporation Finance (DCF) routinely reviews all the disclosure documentsby the SEC registrants to ensure that investors are provided with material information in order to makeinformed investment decisions both at the time of initial public offering and on a regular basis. DCFalso provides interpretive assistance to companies on SEC rules and forms and proposes new andrevised rules to the Commission. Through the review of registrants’ filings, comment letter process,and registrant consultation on disclosure issues, DCF is positioned to have the first-hand knowledge ofthe developing issues on financial reporting and application of accounting standards.