Not that I don't think there is room for improvement, I have not played a pre-1.05 version and I found the M16A2 simultion to be quite accurate having qualified on a M16A2 countless times IRL.
If I have any complaint it is the choppy mouse movement I am fighting to get lined up on a target which is more my local PC's problem than anything else I think.
Also, I strongly disagree with the M16 having the worst iron sight in the world...... I quite like the sites and found them accurate and easy to use IRL.