Audit

The three-decade-long debate of having differential standards for private companies, the tougher regulatory climate on Capitol Hill, the meteoric rise in cloud and mobile computing and the changing demographics were cited among the top issues impacting the profession.

The Public Company Accounting Oversight Board voted Tuesday to adopt rules to implement provisions of last year’s financial reform bill to begin inspecting auditors of securities brokers and dealers.

With nearly 70 percent of audit fraud occurring at non-public companies, and multi-billion-dollar international scandals such as Parmalat and Satyam resulting in massive investor losses and lawsuits, a panel of experts at an accounting conference advised attendees on the red flags that CPA firms need to monitor, and new technologies that can help reduce audit risks and strengthen the confirmation process.

Last week, Accounting Today hosted an international visitor from the Association of Chartered Certified Accountants and the discussion eventually turned to the regulatory subject de jour - auditor rotation.

Sage North America unveiled a new Sage Accountants Network program Thursday aimed at helping practitioners that serve nonprofit and governmental organizations.

The Public Company Accounting Oversight Board has scheduled a meeting for Tuesday to consider adopting certain rules to implement expanded oversight and inspection for registered accounting firms’ audits of brokers and dealers.

Publicly held companies paid an average of $3.3 million in audit fees in 2010, a slight 2 percent rise over the prior year, while public company audits averaged 12,540 hours , roughly the same as the year-ago period.

Check out the digital edition of the June 2011 issue of Accounting Today.

Two reports from the Maryland Association of CPAs and Grant Thornton paint different pictures of whether accountants favor a separate standard-setting board for private company accounting.

The Public Company Accounting Oversight Board could begin requiring public companies to rotate their auditing firms on a regular basis to reduce conflicts of interest.

The Financial Accounting Standards Board has begun a new educational webcast series that will provide continuing professional education credit to those who participate in the live broadcasts

The U.S. Small Business Administration has introduced a smart phone app to help people who are interested in starting or growing a small business.

Despite tens of billions of dollars in abandoned property that has been reported to states, businesses and, yes, CPAs continue to struggle with the many complexities related to unclaimed property. Believe it or not, it is estimated that less than 25 percent of companies in the United States are in full compliance with UP reporting laws.

The California Board of Accountancy’s Accounting Education Committee and Ethics Curriculum Committee plan to hold a joint meeting to unveil their proposals for the 30 additional hours of education necessary for CPA licensure in California, beginning Jan. 1, 2014.

Thomson Reuters has launched ONESOURCE Audit Manager, an online global application that helps companies address the rising number of tax audits and documentation requirements.

The Securities and Exchange Commission staff released its work plan Thursday for how International Financial Reporting Standards might be incorporated into the U.S. financial reporting system.

The Securities and Exchange Commission voted to adopt rules to establish a whistleblower program that rewards individuals who provide the agency with high-quality tips that lead to successful enforcement actions.

Securities and Exchange Commission chair Mary Schapiro told an accounting group that “investors are not as confident as they could be” in accountants, and she plans to make some changes.

American Institute of CPAs president and CEO Barry Melancon derided the recent efforts of the Financial Accounting Standards Board to preserve its authority over private company accounting standards, saying, “Sometimes dynasties need to be broken.”

The American Institute of CPAs has given its Distinguished Achievement in Accounting Education Award to Dale Flesher, a professor at the University of Mississippi.