This document serves as a sample report to the audit committee focused on the progress of an organization's Sarbanes-Oxley Section 404 program. This template includes an executive summary, project approach, program status, business process status, testing interim phase status, control realignment, IT status, business continuity status, entity-level and anti-fraud assessment, and overall results by process.
The entity-level testing and anti-fraud assessment efforts focused on the following:
- Identified areas where the risk of fraud relating to the company’s is high or highlighted other key risk areas.
- Validated and reviewed overall perception of the company’s internal control environment and identified potential areas where the inherent risk of a material misstatement is high.
- Determined the effectiveness of entity-level internal controls that are currently in place.