TheCPAProfession(英文版)

1、2 - 1The CPA ProfessionChapter 22 - 2Certified PublicAccounting FirmsThe legal right to perform audits is grantedto CPA firms by regulation of each state.CPA firms also provide many other services totheir clients, such as tax and consulting services.2 - 3Certified PublicAccounting FirmsThe five larg

2、est CPA firms in the United Statesare called the “Big Five” international CPA firms.Three CPA firms in the United States are callednational firms because they have offices in mostmajor cities.2 - 4Certified PublicAccounting FirmsThere are only approximately 100 regionaland large local CPA firms with

3、 professionalstaffs of more than 50 people.More than 95% of all CPA firms have fewerthan 25 professionals in a single-office firm.2 - 5ManagementConsultingServicesTaxServicesAccountingandBookkeepingServicesActivities of CPA Firms2 - 6Organizational StructureProprietorshipGeneral PartnershipGeneral C

4、orporationProfessional CorporationLimited Liability CompanyLimited Liability Partnership2 - 7Hierarchy of a TypicalCPA FirmStaff LevelStaffAssistantSeniorAuditorExperience Typical Responsibilities0-2 yearsPerforms most of thedetailed audit work2-5 yearsResponsible for the auditfield work, includings

5、upervising staff work2 - 8Hierarchy of a TypicalCPA FirmStaff LevelManagerPartnerExperience Typical Responsibilities5-10 yearsHelps the plan, managesthe audit, reviews work,and works with the client10+ yearsReviews audit work andmakes significant auditdecision2 - 9The AICPA sets professional require

6、ments forCPAs, conducts research, and publishesmaterials on many different subjectsrelated to accounting, auditing,attestation and assurance services,management consultingservices, and taxes.AICPA2 - 10The AICPA is empowered to set standards(guidelines) and rules that all members andother practicing

7、 CPAs must follow.The requirements are set bycommittees made up of AICPA members.Establishing Standardsand Rules2 - 11Establishing Standardsand Rules1. Auditing Standards2. Compilation and Review Standards3. Other Attestation Standards4. Code of Professional Conduct2 - 12Other AICPA FunctionsSupport

8、s research by its ownstaff and provides grants to othersWrites and grades the CPA examinationProvides seminars and education ina variety of subject matters2 - 13Practice standardsPractice standards are general guides for the quality of professional work.nCPAs standards issued by the AICPAs Auditing

9、Standards Board - GAAS generally accepted auditing standards and attestation standardsnInternal Auditors standards are issued by the IIA Institute of Internal AuditorsnGovernmental audit standards are issued by the GAO.2 - 14GAASnGenerally Accepted Auditing Standardsn10 Standards divided into Genera

10、l, Field Work and Reporting StandardsnSAS (Statements on Auditing Standards)nConsidered interpretations of GAASnSAS issued by ASB, Numbered2 - 15GAAS - General StandardsnAudit performed by persons having adequate technical training and proficiency as an auditor.nIndependence in mental attitude is to

11、 be maintained by the auditor.nDue professional care is to be exercised in the performance of the audit and the preparation of the report.2 - 16GAAS - Field Work StandardsnThe work is to be adequately planned and assistance are to be properly supervised.nA sufficient understanding of internal contro

12、l is to be obtained to plan the audit and to determine the nature, timing and extent of tests to be performed.nSufficient competent evidential matter is to be obtained through inspection, observation, inquiries and confirmations to afford a reasonable basis for an opinion.2 - 17GAAS - Reporting Stan

13、dardsnThe report shall state if the financial statements are in accordance with GAAP.nThe report shall identify those circumstances in which such principles have not been consistently observed.nInformative disclosures in the financial statements are to be regarded as reasonably adequate unless other

14、wise stated.2 - 18Reporting Standards - ContinuednThe report shall either contain an expression of opinion regarding the financial statements, taken as a whole, or an assertion to the effect that an opinion cannot be expressed. When an overall opinion cannot be expressed, the reason therefor should

15、be stated. In all cases where an auditors name is associated with financial statements, the report should contain a clear-cut indication of the character of the auditors work, if any, and the degree of responsibility the auditor is taking.2 - 19Audit QualitynAuditing standards are guidelines of qual

16、ity that should be followed in all audits.nFailure to follow GAAS is considered a deficient audit.nAuditing procedures are the tasks used to audit specific clients.2 - 20GAAS AcronymGeneral StandardsnT - Adequate technical training and proficiency as an auditornI - Independence in appearance and fac

17、tnP - Due professional care in performing the audit.2 - 21Continued Fieldwork StandardsnS - Adequate supervision and planning in performing the audit.nI - Understanding of internal control to plan the audit.nE - Gather sufficient competent evidence for a basis of an opinion2 - 22Continued - Reportin

18、g StandardsnGAAP - Financial statements in accordance with GAAPnConsistency - statements are consistent unless otherwise stated.nDisclosure - adequately disclosed unless noted.nOpinion - express an opinion or state why not.2 - 23GAAP Hierarchy SAS 69nFASB statements and interpretations, APB opinions

19、, and AICPA Accounting Research BulletinsnFASB Technical Bulletins, AICPA Industry Audit and Accounting Guides and AICPA statements of PositionnConsensus positions of the FASBnAICPA accounting interpretationsnOther accounting literature2 - 24Define Due Professional CarenDue care - means that an audi

20、tor acted as a prudent practitionernPrudent practitioner follows all of the general and fieldwork standards2 - 25Independence has three aspectsnPractical - free from client interference on what procedures to perform.nInvestigative - free access to records.nReporting - cant let feelings about client

21、or paycheck affect the report.2 - 26Planning and SupervisionnPrepare an audit program and supervise the audit. (Audit program is the list of audit procedures that will be performed.)nObtain a knowledge of the clients business.nDealing with differences between audit members.2 - 27Dealing with differe

22、nces between audit membersnConsult firm members and experts to try to resolve disagreement.nIf not resolved, document disagreement and disassociate member from the matter.nShould be documented in the working papers for reference.2 - 28Timing of auditnImportant for planning and execution of audit.nSh

23、ould be before year end to allow for planning and interim work.nInterim work is work that can be done before the clients yearend.2 - 29Understanding Internal ControlnHelps the auditor decide the nature, timing and extent of tests to be performed in the audit.nControl risk - the probability that a ma

24、terial misstatement could occur and not be prevented or detected on a timely basis by the companys internal controls.2 - 30Planning of testsnGood internal control minimizes control risk - reduces audit procedures needed.nPoor internal control increases control risk - increases audit procedures neede

25、d.2 - 31Audit EvidencenEvidence is all the influences on the minds of the auditors that guides their decisions.nEvidence is to be sufficient and competentnSufficiency is how much evidence is required to be persuasive - up to the auditors judgment as to how much.nCompetent evidence is valid, relevant

26、 and unbiased. 2 - 32Summary ofGeneral StandardsGenerally Accepted Auditing StandardsGeneral1. Adequate training and proficiency2. Independence in mental attitude3. Due professional careField Work1. Proper planning and supervision2. Internal control understanding3. Sufficient competent evidenceRepor

27、ting1. Statements prepared in accordance with GAAP2. Circumstances when GAAP not followed3. Adequacy of disclosures4. Expression of opinion on financial statements2 - 33International Standardson AuditingInternational Standards on Auditing (ISAs)are issued by the International AuditingPractice Commit

28、tee of the InternationalFederation of Accountants (IFAC).2 - 34International Standardson AuditingIFAC is the worldwide organizationfor the accountancy profession.The IAPC works to improve theuniformity of auditing practices andrelated services throughout the world.2 - 35Elements of Quality ControlIn

29、dependence, integrity, and objectivityPersonnel managementAcceptance and continuation of clientsand engagementsEngagement performanceMonitoring2 - 36The overall purpose of theSecurities and Exchange Commission (SEC)is to assist in providing investorswith reliable information uponwhich to make invest

30、ment decisions.Securities and Exchange Commission2 - 37Forms S-1 to S-16Securities and Exchange CommissionForm 8-KForm 10-KForm 10-Q2 - 38Professional SkepticismnPart of the prudent auditor conceptnMental attitude of objectivitynAssume neither honesty nor dishonestynShow me, dont tell me2 - 39Attest

31、ation StandardsnGuide for attestation work other than financial statement audits nPromulgated by the ASB (Auditing Standards Board)nAudit must have proficiency in the attest functionnHave adequate knowledge of the subjectnThe subject must be measurable against a reasonable criterianReports are issued saying the subject matter does or does not meet the crit