The 2002 SOX Act required integrated audits for all public companies with immediate implementation by larger accelerated-filers. The 2010 Dodd-Frank Act modified section 404 of the SOX Act to exempt certain smaller companies (non-accelerated-filers) from having external audits of their ICFR.

Given the importance and function of internal controls and known fraudulent activities, do you agree with this modification that eliminated the need for these smaller public companies from having auditors express an opinion on their ICFR? Explain your answer.

Though recommended, there is no requirement for private and not-for-profit companies to have external auditors audit their ICFR. Explain whether you feel these organizations should have their ICFR audited by external auditors.