Fraud
A study showed that when employees believed their company had controls in place to detect wrongdoing they were less likely to commit fraud. Nonetheless, occupational fraud losses have risen and the methods fraudsters have used range from the silly to the sophisticated.
Professional Issues
How the “most admired company in the world” succeeded in eroding analyst and investor trust. The effects of the scandal are far-reaching, but the AICPA and the SEC are working to restore faith in the financial markets.
Professional Issues
In the wake of Enron’s collapse, the AICPA chairman says that to restore public confidence in the auditing profession, CPAs must strengthen the self-regulatory process. The Institute is now implementing reforms on several fronts.
Technology
If your organization is struck by a disaster, could you retrieve your mission-critical computer data? Read about ways to protect that information so you can get back in business quickly.
Insurance Issues
Education / Professional Issues
CPAs can play an important part in improving accounting education. They have a vested interest in helping educators bridge the gap between classroom skills and those businesses demand.
Business & Industry / Financial Reporting
FASB’s new standards on business combinations identify intellectual property as intangible assets requiring a separate valuation apart from goodwill. Here’s some guidance on how to spot potential accounting problems to ensure companies are not subject to SEC scrutiny after a deal is completed.
Fraud
Businesses are prime targets for embezzlers and other white-collar offenders. But CPAs, armed with software capable of even simple analysis, can help their clients and employers stop such criminals before they cause extensive damage.
In My Opinion
The author’s concept of quality financial reporting urges financial managers to adopt a new attitude. Rather than merely meeting minimum requirements, they can cut capital costs and increase the company’s stock price by voluntarily improving their financial reports.
Auditing
In its first major change to audit documentation guidance in 35 years, the auditing standards board issued a new standard that provides general guidance on the nature and extent of documentation necessary to support an auditor’s report. It also adds to certain other SASs specific guidance on this subject.
Business & Industry / Disaster Preparedness
Effective disaster planning requires companies to take steps to identify the personnel and issues that need to be part of the process. The tragic events of September 11 showed that planning can’t be put off until tomorrow.