EXECUTIVE SUMMARY MANY OF THE CPAs WHO ARE HIRED AS chief audit executives for public companies will have the opportunity to start a new internal audit function or reshape an existing department in the wake of the Sarbanes-Oxley Act of 2002. BEFORE ACCEPTING THE OFFER, candidates should interview the management
Advertisement
TOPICS
Management accounting
Hedge Fund Investing
EXECUTIVE SUMMARY SINCE THE BEAR MARKET IN STOCKS STARTED FOUR years ago, hedge funds have become one of the hottest investment vehicles, growing at a rate of 20% a year. The hedge fund market is expected to increase to $1.5 trillion in the next two to five years. A HEDGE
Selling To Audit Committees
EXECUTIVE SUMMARY SARBANES-OXLEY HAS CHANGED the relationships CPAs have with the entities that employ them. Before, an audit committee was essentially an extension of a company’s board of directors, often rubber-stamping the CFO or CEO’s choice of auditor. Since the act, corporate boards and audit committees have taken
Create a Sound Investment Plan for Clients
Individual investors sometimes prove to be their own worst enemies. CPAs can help them avoid repeating common investment mistakes that could have a dramatic impact on their returns. To help clients establish a well-thought-out investment program, advise them to Make a plan. Help the client develop an investment
The PCAOB and the Future of Oversight
he objective of the Sarbanes-Oxley Act of 2002 was to make registrant audit committees, corporate management and the auditing profession work together to mitigate the risk of catastrophic audit failures. But as an experienced auditor, I fear the current business and regulatory environment may hinder achieving that objective. THE PCAOB
How to Keep Them Once You’ve Got Them
EXECUTIVE SUMMARY A REGIONAL FIRM, PLANTE & MORAN (P&M), developed and implemented a strategy called “rerecruiting,” an ongoing program based on staff recognition and appreciation, to maximize staff retention. Its turnover rate for the past decade ranks between 8% and 15% annually—well below industry standards. MANAGEMENT-CREATED WORKSHOPS explain the value
Smart Stops on the Web
THE INTERNET BUSINESS VALUATION SITES Add a New Credential bvfls.aicpa.org Institute members looking for a new challenge can register at this section of the AICPA Web site to take the November 15 or 30 Accredited in Business Valuation (ABV) exam. Other resources include the BV Competence Assessment Tool, Exam Candidate’s
Internal Audit’s New Role
EXECUTIVE SUMMARY NYSE-LISTED COMPANIES MUST HAVE INTERNAL audit departments in place in advance of an October 31 deadline. Internal auditors also are evaluating the scope of work their departments should take on to comply with Sarbanes-Oxley and other rules. A COMPANY STILL PUTTING TOGETHER ITS INTERNAL audit department should proceed
The Lowdown on Lean Accounting
EXECUTIVE SUMMARY LEAN MANUFACTURING PRINCIPLES FOCUS on eliminating waste and producing only to meet customer demand. They also typically require a company to move from a functional division of work to work cells where all of the processes needed to manufacture a product or line occur next to each other
Tips for the Sarbanes-Oxley Learning Curve
EXECUTIVE SUMMARY THE SARBANES-OXLEY ACT HAS HAD a far-reaching impact on CPA firms, whether large, midsize or small. Firms that audit public companies have been working out strategies for coping successfully in their internal operations as well as in their relations with clients and prospects. THE STEPPED UP INTERNAL AUDIT
Golden Business Ideas
The Right Way to Use PowerPoint Do you use PowerPoint, the Microsoft presentation software, to make sales pitches for new clients? Or do you use it, as a consultant would, to lay out in-depth analyses in an effort to convince a client or your boss to adjust complex business strategies?
Enterprising Views of Risk Management
EXECUTIVE SUMMARY ENTERPRISE RISK MANAGEMENT (ERM) IS A STRATEGY organizations can use to manage the variety of strategic, market, credit, operational and financial risks they confront. ERM calls for high-level oversight of risks on a portfolio basis, rather than discrete management by different risk overseers. ERM HAS GIVEN RISE TO
Advise Businesses on External IT Resources
EXECUTIVE SUMMARY CLIENTS WHO ARE DISSATISFIED with their internal IT functions do not always understand the remedial options available to them. So CPAs can provide a reasoned analysis to help them decide between internal system improvements and getting help from an outside source. A COMPANY MAY CONSIDER OUTSOURCING its IT
Small Firms: Think Big!
EXECUTIVE SUMMARY THE SARBANES-OXLEY ACT HAS CREATED new requirements for public companies, spurring greater demand for professional services and for a range of engagements that offer opportunities to well-positioned smaller firms. ONE RESULT IS A CHAIN REACTION in which the big firms are going to focus on certain services and
The Best-Laid Plans
EXECUTIVE SUMMARY DISASTER ARE UNPREDICTABLE , and one disruption may cause others, so a firm should test its preparedness plan to make sure it will do what it’s supposed to: locate the firm’s people, obtain equipment and support, access job-file and system backups and put staff to work in an
Smart Stops on the Web
Safety (on the) Net www.marginofsafety.org CPA investment advisers can log on for free at this Web site to catch up on current value investment news and get advice from financial experts such as Warren Buffet. Users also can read fund company annual reports, SEC filings and yearend letters to shareholders;
A Changing Corporate Culture
EXECUTIVE SUMMARY RECENT CORPORATE FAILURES HAVE CALLED INTO question the value of the financial statement audit. One of the results was the Sarbanes-Oxley Act of 2002, which has the potential to change corporate culture by mandating additional governance responsibilities and reporting requirements for top management. A SURVEY OF FINANCIAL EXECUTIVES
Choose the Right Tools for Internal Control Reporting
EXECUTIVE SUMMARY CPAs CAN PROVIDE A VALUABLE service to their employers or clients by helping them plan their strategic approach to compliance with section 404 of the Sarbanes-Oxley Act of 2002. NEW SOFTWARE PRODUCTS CAN IMPROVE corporate governance and external communications about financial performance. They also can enhance the efficiency
Sarbanes-Oxley: What It Means to the Marketplace
EXECUTIVE SUMMARY THE ACCOUNTING PROFESSIONALS interviewed for this article were positive about some Sarbanes-Oxley requirements, saying management’s reporting on and the external auditor’s attestation to the internal controls are good ideas. They advocated audit committees’ hiring CPAs because it could reduce the pressure on audit fees and lead to better-quality
Corporate Governance and Client Investing
EXECUTIVE SUMMARY AS CORPORATE GOVERNANCE ISSUES TAKE ON INCREASED importance in the value of a stock, CPAs should take the opportunity to get ahead of the curve and help clients monitor such issues. There is general agreement that the quality of corporate governance and the effectiveness of a board of
Features
FROM THIS MONTH'S ISSUE
Right-sizing risk management
Sole practitioner or small firm? Risk management doesn’t have to be “one size fits all.” Learn how to help protect your practice without adding unnecessary admin time.
From The Tax Adviser
July 31, 2026
Current developments in S corporations
July 31, 2026
