• Failing to perform substantive procedures specifically responsive to fraud risks and other significant risks identified;
• not evaluating the accuracy and completeness of financial statement disclosures; and 
• not testing the accuracy and completeness of information produced by the company.

"Because risk assessment underlies the entire audit process, it is critical that audit firms address these findings of weaknesses in compliance with the risk assessment standards," said PCAOB Chairman James R. Doty.