Information technology system design or implementation services; — — Significant client fees. The first—section —provides the strongest proscriptions and applies to audits and reviews of financial statements. The other—section —provides generally less restrictive independence standards that apply to all other assurance engagements. The AICPA does not bifurcate its independence standards; however, a very narrow exception exists for certain restricted-use reports issued under the Statements on Standards for Attestation Engagements SSAEsand a newly adopted standard on network firms applies only to financial statement audit and review engagements.
It has more than three hundred and fifty thousand members and is recognized in over countries. The AICPA has members in every areas of practice such as business and industry, public practice, government, education and consulting. The AICPA code of professional conduct has six important principles namely; responsibilities, the public interest, objectivity and independence, Integrity, due care and scope and nature of services.
The main purpose of the association is to uphold values and standards in the accounting and auditing profession.
Responsibilities are important because the CPA has to act responsible at all times by showing sensitivity and moral judgment towards the shareholders, creditors, employers and colleagues in the way information are handled and decisions are made.
The Public Interest which covers clients, creditors, government, employers, investors, the business and financial community and all others that rely on the decision of the Chartered Professional Accountant is the most important code of the AICPA as this is the purpose of the CPA.
The CPA has to gain the confidence of the stakeholders because the stakeholder has to be sure that they can rely on the information that is certified and published by the CPA as accurate. The information that is being certified by the CPA includes income statements, balance sheets and the entire statement of affairs of the company.
Investors use these information to make 3 investment decisions if this information is incorrect then the public will make decision based on incorrect information which could cause investors to go bankrupt.
Objectivity and Independence is the bedrock of the CPA code of conduct. In the accounting field there are many voices calling on the accountant to make a decision and some of these decisions can be detrimental to the business and the public therefore the CPA must be objective and independent, relying only on the information that is presented and her own moral and ethical beliefs.
The CPA has to maintain a mental attitude of impartiality and intellectual honesty to ensure freedom of conflict of interest. CPAs in auditing positions needs to be like the jury on a case and act in the same manner, by interfacing with the client and while auditing the clients book they should be sequestered to prevent them from hearing and seeing thing that will affect their judgment.
The AICPA has served the accounting profession exemplary over the years and will continue to do so in the future.
Chartered Professional Accountants will continue to act ethicallywith integrity and moral judgment and some will fail as we have seen in the past. CPAs will continue to serve the public interest exercising objectivity and independence in a very responsible manner.This CPE course provides a timely update and refresher on the AICPA Code of Professional Conduct, including the conceptual framework and independence provisions for nonattest services, personal independence, and other critical matters.
The chapter cover the AICPA Code of Professional Conduct covering Independence Rule, integrity, confidentiality, and Nonaudit services that are not prohibited by the Sarbanes–Oxley Act and the SEC. AICPA Code of Professional Conduct.
Course Description: This course is based upon the reformatted AICPA Code of Professional Conduct and covers the conceptual framework utilized in the reformatted code as well as the rules and interpretations applicable to CPAs in public practice, business and those defined as “other”, which would include.
AICPA Code of Professional Conduct. AICPA Code of Professional regardbouddhiste.com Document Text Content: AICPA Code of Professional Conduct. Contact Us License Verification Report Bad Links State of Iowa Policies Adobe PDF Reader.
Printed from the website on November 18, at pm. This presentation centers around the AICPA’s Code of Professional Conduct and its most common errors and issues in professional ethics for CPAs.
These ethical issues impact the professional in the practice of public accounting as well as real-life ethical issues faced by individuals and organizations in industry, government, and education.
It addresses newly revised interpretations. ET Section Independence References revised to reflect issuance of AICPA Code of Professional Conduct on January 12, Revised, effective June 30, , by the Professional Ethics Executive Committee.
Revised, November , effective January 1, with earlier application encouraged, by the Professional Ethics .