Audit

The Securities and Exchange Commission has published its long-delayed roadmap for the transition to International Financial Reporting Standards.

MCGLADREY TO AUDIT JTAThe Jacksonville, Fla., office of McGladrey & Pullen has been engaged to audit the Jacksonville Transportation Authority. The JTA, in conjunction with the Florida Department of Transportation and the city of Jacksonville, develops and implements construction plans to improve traffic flow in the Jacksonville area.

One (and possibly the only) positive result of the financial crisis is that market value accounting has been brought to the public's attention.Unfortunately, most discussions of this issue have generated much more heat than light. For instance, we've noted that many who criticize value-based accounting don't begin to understand its advantages over other asset and liability measures. We want to explain the theory behind it, which is how we came to be convinced that all the trouble of switching to values will be worthwhile. This perspective has helped us see that most criticisms of market value are transparent attempts to deflect blame away from managers who made poor investment decisions.

When it comes to personal finances and investing, affluent women are hard working, smart, and self-driven, according to Women & Co., Citigroup’s resource program dedicated to helping women achieve their financial goals. The survey, Women and Affluence 2008: A Generational Study, reveals that affluent women are knowledgeable about investing, confident about their retirement, often the primary decision maker, and influencing the next generation of women to do the same. Lisa Caputo, founder and CEO of Women & Co. says that the study is part of the ongoing dialogue with women. “This survey is the latest example of how we listen to women and continue to learn about their distinct financial needs, attitudes, and perspectives. The results indicate that today’s affluent women have far surpassed their mothers in financial acumen, and decision making responsibility. Despite a lack of female financial role models, affluent women empowered themselves and are committed to being a positive financial role model for their daughters.” In fact, according to the survey, women stated they talk to their daughters more about money than any other topic. Why? The research shows that women are embracing their role as CFO (Chief Financial Officer) of the household and encouraging their daughters to do the same. Some key findings from the study include:

The Rehmann Group accounting firm said it plans to merge with another Michigan firm, Pridnia LaPres, effective Jan. 1, 2009.

The Center for Audit Quality defended the use of fair value accounting in a letter to the Securities and Exchange Commission as the standard comes under attack from banking interests.

KPMG International has appointed a new chief financial officer, Helen Spice, who will be relocating from the firm's London office to Toronto.

International Accounting Standards Board Chairman Sir David Tweedie said he nearly resigned before giving in to pressure from European regulators to modify fair value accounting standards to allow banks to reclassify their assets.

H.D. Vest Financial Services is offering remote check scanning and depositing services to its network of financial planning advisors.

The International Accounting Standards Committee Foundation has written a letter to President Bush asking him and other world leaders to respect fair value accounting and the standards-setting process.

I haven’t known a month’s financial confidence in my whole adult life.

Deloitte & Touche has sued former vice chairman Thomas Flanagan, claiming that he profited from stock trades using inside information about the firm's audit clients.

Nations around the world are reducing corporate taxes, according to a report by PricewaterhouseCoopers.

The American Institute of CPAs' Auditing Standards Board has revised a standard on the use of electronic confirmations to provide further guidance on reliability.

RSM McGladrey has acquired Philadelphia accounting firm Simonson Lipschutz & Fogel for $6 million.

“The best defense in these interesting economic times is to do nothing out of panic.” So says Brent Neiser, a certified financial planner and director with the National Endowment for Financial Education. “People react emotionally without information about situations that apply to them.” Neiser believes that with the financial markets looking like a roller coaster, many investors are now considering cutting their losses and racing to the sidelines. And then they will wait until the market hits bottom and starts to go in the other direction. I have heard the same tactic being employed by many of my friends. Of course, the reply from me usually is, when will you know when you hit bottom?” Neiser warns that unless you actually must have the money for a child’s college tuition or to purchase a “must do” big ticket item like replacing a car that has died on you, he feels the best bet is to continue investing in your 401(k) plan, at least up to the company match threshold. “That’s free money. Take it unless you absolutely can’t afford to.” Neiser also advises that keeping about three to six months of ready cash to cover expected circumstances is a good idea. “You don’t want to be selling investments as the market is going down just to pay the mortgage or put food on the table.” That’s why he recommends putting cash in a money market to even a checking account to keep the cushion safe from market swings. In other words, keeping yourself liquid, and not to make any major changes in your portfolio. As to credit card debt, Neiser believes that while it may be important to pay yourself first, as the old adage goes, why would you continue paying 18 percent interest rates on unsecured debt while you earn just two percent on your savings? “Pay off your plastic and get rid of them.” He also feels that this is the perfect time to check how you are protecting your assets through automobile, home, life, disability, and health insurance policies. He points out that it might be better taking higher deductibles and putting the savings from lower insurance premiums into a dedicated “insurance deductibles” savings account. Even if nothing happens, you at least have an account with money in it. And should something unforeseen happen, you have money to help cover the increased deductible. For more tips, you might want to visit www.smartaboutmoney.org. Also, to learn more about the National Endowment for Financial Education and how they can help people acquire the knowledge and skills necessary to take control of their financial destiny, visit www.nefe.org.

Habif, Arogeti & Wynne said all the shareholders and staff of Tauber & Balser have joined the firm, effective November 1, extending the Atlanta-based firm's forensic accounting and litigation support expertise.

Jacqueline Akerblom, Grant Thornton LLP's managing partner of Women's Initiatives and Programs, has been recognized as the American Society of Women Accountants Educational Foundation's 2008 Balance Awards "Woman of the Year."

The Securities and Exchange Commission is expected to publish the long-delayed roadmap for transitioning to International Financial Reporting Standards on Friday.

Seventy-nine percent of CFOs and senior controllers said they do not plan to make tax decisions based on the outcome of the presidential and congressional elections, according to a survey by Grant Thornton.