Attestation Update – A&A for CPAs

Technical stuff for CPAs providing attestation services

Lots more disciplinary actions from California Board of Accountancy

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Image courtesy of Adobe Stock.

It takes thirty-two pages to describe the current round of disciplinary actions from the California Board of Accountancy in the Spring/Summer 2017 edition of the Update newsletter (Issue #84). By my count there are 38 actions, exclude one situation where a firm and the CPA are listed separately.

The overwhelming portion of cases are for CPAs who have an audit or review or compilation failure. Most of those firms also have a peer review problem, either not getting a peer review, failing two consecutive reviews, or getting a very late review.

Just in case you were wondering whether CPAs are regular people with the same, um, foibles as the general population, there were 7 CPAs disciplined for conviction of a crime.

I tallied the results for this edition of Update and came up with these results:

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Written by Jim Ulvog

November 17, 2017, 8:54 am at 8:54 am

Posted in Audits, Peer Review

Tagged with , ,

Who picked up the bill for our freedom?

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Image courtesy of Adobe Stock.

For our freedom, I offer up a humble thank you to all who have gone before standing endless watch, slogging through the jungle mud, freezing in a foxhole, shooting Nazis with a machine gun at 30,000 feet, doing yet another round of dreary maintenance, brought home a life-long injury, or paying the ultimate price fighting to defeat the Confederacy.

Because of millions who did what had to be done, I can say what I wish without fear of being thrown in jail.

It seems so insufficient, but I’ll say it anyway – – Thanks.

 

“It is the soldier, not the reporter,

who has given us freedom of the press.

 

It is the soldier, not the poet,

who has given us freedom of speech.

 

It is the soldier, not the campus organizer,

who has given us the freedom to demonstrate.

 

It is the soldier, who salutes the flag, who serves beneath the flag and whose coffin is draped by the flag,

who allows the protester to burn the flag.”

Jeremiah A. Denton Jr.

 

Written by Jim Ulvog

November 11, 2017, 11:53 am at 11:53 am

Posted in Other stuff

A Halloween costume that would make any CPA pass out from fright – an auditor performing one pension plan audit

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Photo courtesy of DollarPhotoClub.com

Photo courtesy of DollarPhotoClub.com

Amid the cute little kids in their funny costumes, this pleasant Halloween night there was a grown man in a suit at the door asking for candy. White shirt, red tie, gray pinstripe.

Not so scary, thought I.

(Tale of this particular night was originally posted on October 31, 2013.)

“What are you dressed up as?”

“An auditor,” came the reply.

That’s not frightening, since I’ve been an auditor for a long time. But it did explain the standard issue uniform.

So, putting on my peer reviewer hat, I asked, “what audit work do you do?”

“Oh, only one pension plan….

.

.

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Written by Jim Ulvog

October 31, 2017, 8:33 am at 8:33 am

Posted in Audits

Tagged with ,

Various thoughts from continuing education classes this year, part 3. Not so good news on audit and peer review quality.

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The road we CPAs need to be on, but not all of us are…
Image courtesy of Adobe Stock.

As I’ve mentioned here and here, I have reread my notes from several continuing education classes this year. Thought I would share a variety of stray ideas.

Probably need to note again that I have not gone back and read the original pronouncements supporting each idea and therefore I do not have a specific citation for you. (Reading three of the documents is the next step for  my writing project.)

(Cross-posted from my other blog, Nonprofit Update.)

I should probably throw in a disclaimer. All of the comments I’m mentioning were the opinion of the presenter, not the agency from whom the person was drawing a paycheck. That is why I’m not mentioning the names of the presenters, or even the CPE event. In addition, the rephrasing of their comments is my interpretation, not their words.

Here are some tidbits you might enjoy:

More interest in Financial Reporting Framework for Small- and Medium-sized Entities (FRF-SME)?

The FRF-SME framework is a non-GAAP alternative to GAAP. It is dramatically less complicated with the promise it will not be revised more often every three years.

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Written by Jim Ulvog

October 5, 2017, 9:44 am at 9:44 am

Various thoughts from continuing education classes this year, part 2

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As mentioned in the previous post, I’ve reread my notes from several continuing education classes this year. Thought I would share a variety of stray ideas.

(Cross-posted from my other blog, Nonprofit Update.)

For what it is worth here are some tidbits you might enjoy:

Presentation of not-for-profit financials – ASU 2016-14

Presenter said that if an organization wanted to break out the with restriction column into more detail there is nothing to resented been broken into two or three columns. Perhaps it could be columns for:

  • donor endowment
  • other with restriction contributions
  • time restrictions
  • total with donor restriction
  • without donor restriction
  • total (total column is not required, but total change in net assets is)

Another possibility to present more detail would be to present multiple lines within the with donor restriction column, such as contributions to donor endowment, various purpose restrictions, time restriction, and a subtotal.

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Written by Jim Ulvog

October 4, 2017, 9:11 am at 9:11 am

Posted in Accounting

Various thoughts from continuing education classes this year, part 1

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Image courtesy of Adobe Stock.

As part of working on a big writing project, I’ve reread my notes from several continuing education classes this year. (More details later and a link to the published material much later.) Thought I would share a variety of stray ideas. Here are a few tidbits from the classes.

Probably need to note that I have not gone back and read the original pronouncements supporting each idea and therefore I do not have a specific citation for you. (Reading three of the documents is the next step for my writing project.)

(Cross-posted from my other blog, Nonprofit Update.)

For what it is worth here are some tidbits you might enjoy:

Leases – ASU 2016-02.

One of the key on/off switches is whether a particular transaction or document is a lease. That will require an assessment of each transaction.

Right of use assets (the new description) resulting from operating and financing leases need to be listed separately on the statement of financial position. Those two categories (operating right of use and financing right of use) will be presented separately from fixed assets.

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Written by Jim Ulvog

October 3, 2017, 8:35 am at 8:35 am

Posted in Accounting

Tips on how to apologize

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Sorry by HypnoArt is in the public domain (CC0 1.0)

Let’s face it, we all goof up sometimes whether by insulting a client, dropping the ball on a project, or the good ol’ engage mouth before engaging brain routine.

To repair the damage, especially in the work environment, an apology is needed.

The Journal of Accountancy on 9/25/17 offered some great suggestions on How to make a professional apology.

Here are a few of the multiple tips suggested.

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Written by Jim Ulvog

October 2, 2017, 7:58 am at 7:58 am

Posted in Other stuff, Pondering