Spending for section 404 compliance averaged $4.4 million in 2004, a recent survey finds.<\/p>\n","protected":false},"excerpt":{"rendered":"
The first year of complying with section 404 of the Sarbanes-Oxley Act has come at a steep cost for many businesses, with greater-than-anticipated personnel, consulting, auditing, and software expenses, according to a survey by Financial Executives International, a professional association of CFOs, treasurers, and financial controllers.<\/p>\n
The good news is that the cost of compliance efforts is expected to decrease this year as IT projects undertaken to meeting the financial-reporting requirements of section 404 progress.<\/p>\n
Companies like Eastman Kodak, SunTrust Banks, and Toys R Us have reported accounting problems that may preclude their issuing such a statement in their 2004 annual reports.<\/p>\n
Uncertainty over auditing procedures for section 404–final guidelines weren’t adopted by the Securities and Exchange Commission until late last year–was cited as a major reason for the variance between estimated and actual costs.<\/p>\n
Ninety-four percent of the March survey respondents say the costs of Sarbanes-Oxley compliance exceeded the benefits.<\/p>\n
Personnel and external costs are expected to decline by 39% on average through adoption of more-efficient compliance processes and procedures.<\/p>\n
http:\/\/www.informationweek.com\/story\/showArticle.jhtml;jsessionid=20JC5RPZDVSV4QSNDBGCKHSCJUMEKJVN?articleID=159904261<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[32],"tags":[],"class_list":["post-1805","post","type-post","status-publish","format-standard","hentry","category-statistics"],"_links":{"self":[{"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/posts\/1805","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/comments?post=1805"}],"version-history":[{"count":1,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/posts\/1805\/revisions"}],"predecessor-version":[{"id":4292,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/posts\/1805\/revisions\/4292"}],"wp:attachment":[{"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/media?parent=1805"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/categories?post=1805"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.cybersecurityinstitute.com\/blog\/index.php\/wp-json\/wp\/v2\/tags?post=1805"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}