Significant changes to compilation included in 3 proposed standards


From Staff Reports

Three standards proposed by the AICPA Accounting and Review Services Committee (ARSC) as part of its clarity project include a proposal that would significantly change compilation literature.

An exposure draft (ED) invites public comment on the proposals. The ED includes:

  • A proposed, revised compilation standard that would apply when the accountant is engaged to perform a compilation engagement on historical financial statements.
  • A new preparation standard that would apply when the accountant is engaged to prepare financial statements for a client, but is not engaged to perform a compilation, review, or audit with respect to those financial statements.
  • A new association standard that would apply when the accountant agrees to permit the use of his or her name in a report, document, or written communication that also includes financial statements that the accountant may or may not have prepared, and for which the accountant did not issue a compilation, review, or report.


ARSC voted in October to expose the proposal for public comment.

Comments are due May 2, 2014, and can be submitted by email to Mike Glynn, CPA, a technical manager for the AICPA Auditing and Attest Standards Team who serves as staff liaison to ARSC, at mglynn@aicpa.org.

SPONSORED REPORT

Cybersecurity threats proliferating for midsize and smaller businesses

This report details how SMBs can properly protect private information from breaches, design and implement a cybersecurity policy, and create safeguards for training and education.

QUIZ

Test yourself on these often confused words

The spelling checker on your word processing program can do only so much to flag problems. Your best insurance is to learn the troublesome words that trip up writers and use them correctly by the standards of formal, written English.