Attestation Update – A&A for CPAs

Technical stuff for CPAs providing attestation services

Archive for the ‘Pondering’ Category

When will this mess from the pandemic be over? Focus on the idea that it will end, not what that date will be.

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We will prevail. Image courtesy of Adobe Stock.

When will we be done with this stay-at-home restriction?

When will the economy recover?

When will we be back to “normal?”

 

I don’t know the dates for any of those transitions.

I have a suggestion for you.

 

Don’t set a specific date in your mind. Instead firmly set in your mind that this mess will end, we will get through it, we will survive, and we will thrive at the end.

What is the danger of setting a date in your mind and having faith it will be over on that date?

Let me introduce you to the Stockdale paradox.

Admiral James Stockdale was an American pilot shot down during the Vietnam war. He was a prisoner in North Vietnam for 7 1/2 years, routinely subject to brutal torture, legs broken twice during interrogation, and held in solitary confinement during four of those years with his legs locked in a metal stock each night. He was awarded the Congressional Medal of Honor a few years after his release.

I think we should listen to him. His physical courage and moral courage are a role model for all of us.

For one explanation of the phenomenon he described check out article titled The Stockdale Paradox.

 

Who did not come home from captivity?

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Written by Jim Ulvog

March 25, 2020, 11:36 am at 11:36 am

Posted in Pondering

Pondering impact of coronavirus prevention steps on financial statements. An auditor’s perspective.

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Image courtesy of Adobe Stock.

If you are an auditor getting ready to issue opinions on client financial statements, you might want to ponder the subsequent event implications of the U.S. shutting down large portions of the economy this week. Might want to take a closer look at going concern assumptions.

If you happened to have slept well last night, you might ponder the impact on the financial statements you released a couple weeks ago.

Subsequent events

Here are some initial thoughts for consideration as disclosable material subsequent events and perhaps contingent liabilities:

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Written by Jim Ulvog

March 14, 2020, 9:26 am at 9:26 am

Comments from recent continuing education classes worth repeating: “get in or get out”

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If you are an auditor and that is a diagram of new audit rules, then you need to completely understand the graph. Image courtesy of Adobe Stock.

Here are some fun or interesting or useful tidbits from the October 2018 A&A and the June 2019 Not-for-profit conferences presented by California Society of CPAs.

Previous posts had comments on accounting and auditing as well as peer review.

“Get in or get out”

The second speaker who discussed peer review in previous post also said that if you are doing A&A work you need to “get in or get out.”

Let me translate that…

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Written by Jim Ulvog

July 1, 2019, 6:31 am at 6:31 am

Comments from recent continuing education classes worth repeating: accounting and auditing

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Image courtesy of Adobe Stock.

To get ready for a writing project this summer, I’ve been going over my notes from some CPE conferences and classes.

Thought I’d share some of the fun or interesting or useful tidbits from the October 2018 A&A and the June 2019 Not-for-profit conferences presented by California Society of CPAs.

Auditing

The auditor’s report will be completely reworked with implementation first required for 12/31/20 reports. The statement has been issued. Check out SAS-134, Auditor Reporting and Amendments, Including Amendments Addressing Disclosures in the Audit of Financial Statements if  you want to get a head start on the overhaul to audit rules.

By the way, an omnibus standard, SAS 135, makes lots of little changes you need to know about.

An exposure draft is out which addresses audit evidence. Final document expected in late 2019.

Accounting

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Written by Jim Ulvog

June 27, 2019, 6:58 am at 6:58 am

Memorial Day: gratitude for those who did not return

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Image courtesy of Adobe Stock.

 

To family and friends of those who did not return, I humbly say:

My deepest condolences on your loss.

From someone who appreciates the price paid for the freedom I cherish everyday, please accept my thank you on behalf of your loved one who paid the price that my family and I can live free.

“Thank you” is so little, but it is all I have to give you.

 

 

“Here rests in honored glory an American soldier known but to God” Tomb of Unknown Soldier 002 – Arlington National Cemetery – 2012 by Tim Evanson is licensed under CC BY-SA 2.0

 

 

Rosecrans National Cemetery, San Diego, California. Photo by James Ulvog.

Written by Jim Ulvog

May 27, 2019, 9:28 am at 9:28 am

Posted in Pondering

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

The story on Silk Road, an on-line drug bazaar, shows the power of rationalization and self-deception

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Cover of “American Kingpin” from Amazon. Used under fair use.

The sad tale of Ross Ulbricht and his on-line drug bazaar called Silk Road is a good study of the outer limits of how far rationalization can carry a person.

It is also a frightening illustration of Jeremiah 17:9. From the New International Version, ponder:

The heart is deceitful above all thing and beyond cure. Who can understand it?

Considering the tale of Silk Road is useful for accountants wanting to learn about the outer fringe of the internet and he investigative power of the federal government, believers who would like an illustration of the frightening level of deceit that lives in the human heart, and anyone else wanting to learn more about the dark worlds that normal people will never see.

My posts are gathered into two collections on my other blog, Outrun Change:

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Written by Jim Ulvog

September 26, 2017, 16:22 pm at 4:22 pm

Posted in Other stuff, Pondering

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