International Auditing Standards And Standards

The American Institute of Certified Public Accountants (AICPA) is a professional accounting organization whose members are certified public accountants (CPAs). The AICPA published the generally accepted auditing standards (GAAS). GAAS are those guidelines which auditors must follow while conducting an audit of a company's financial statements. Generally accepted auditing standards are divided into three main areas: general standards, fieldwork, and reporting.

Even if uniformity were to be reached, the IOSCO disclosure standards do not encircle all of the information required of an easy access to cross-border capital markets.

The Auditing Standards Board (ASB) redrafted the standards for clarity and reorganized all of the auditing sections (AU) into new one adding C after (AU-C), bringing both significant and subtle changes. For some of the standards only the format changed but others significantly impacted the auditor’s work. This project was very important for the globalization

One of its primary goals focuses on setting ethical and professional standards of conducts. The AICPA currently has no roles in setting standards for financial accounting (responsibility of the FASB) but does have a hand in setting U.S. Auditing Standards for the auditing of various different types of companies and settings such as not for profit, private, federal, state and local

JPMorgan Chase Bank is a publicly traded company and uses an external-independent auditing firm, PricewaterhouseCoopers LLP, to provide an annual audit. JPMorgan

The AICPA in the auditing standards-setting process has the responsibility to set the standards for the audits needing to be performed of nonpublic entities. These audits are performed by the AICPA through the issuance of Statements of Auditing Standards. The Statements of Auditing Standards were established to address any issues or concerns of its standards throughout the audit process. As a result of the Sarbanes-Oxley Act, the PCAOB was established for setting standards for the audits of public entities. The PCAOB performs all of their public audits through the issuance of Auditing Standards. The Auditing Standards are reviewed and approved by the SEC (Securities and Exchange Commission). In contrast to the AICPA and PCAOB, the SEC

American Institute of Certified Public Accountants (AICPA). 2015. Statements on Auditing Standards. Accessed at AICPA web site (March 6, 2015): http://www.aicpa.org/research/standards/auditattest/pages/sas.aspx

Regulators and Accounting Standards Board have long struggled with the developing comprehensive reporting standards that will improve transparency, reliability, completeness, and comparability of the financial statements prepared by the company. The need to promote investor confidence in the market makes it important to improve the financial reporting standards so that investors are able to obtain accurate, reliable and complete information in order to make informed judgments. This paper reviews recent attempts by SEC and FASB to improve the reporting of off-balance sheet transactions, variable interest entity, and non-controlling interest.

INTERNATIONAL STANDARD ON AUDITING 315 IDENTIFYING AND ASSESSING THE RISKS OF MATERIAL MISSTATEMENT THROUGH UNDERSTANDING THE ENTITY AND ITS ENVIRONMENT (Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS Paragraph Introduction Scope of this ISA .................................................................................. 1 Effective Date ....................................................................................... 2 Objective .............................................................................................. 3 Definitions ............................................................................................ 4 Requirements Risk Assessment

The accounting world is shaped by stringent and clear rules, principles, standards and guidelines. These are all meant to define accounting operations and reporting discipline. With the emergence of International Accounting Standards (IAS), which was later replaced by International Financial Reporting Standards (IFRS), the accounting concepts, analysis, disclosures, reporting and presentation became easier and practical. Currently, accountants, managers and related parties find it concrete and consistent in protecting professional boundaries.

International financial reporting standards (IFRS) are the attempt of the International Accounting Standards Board (IASB) to globally harmonize accounting standards and financial reports (Doupnik & Perera, 2014). Such standards are principles developed by the IFRS foundation and the IASB whose goal are to implement international accounting standards (IAS) which promote transparency, accountability, and efficiency of financial reporting to ensure organizations draft financial reports that are comparable internationally (IFRS Foundation, 2015). In an effort to facilitate the adoption of IFRS, accounting professional bodies worldwide such as the Institute of Chartered Accountants of Scotland (ICAS) have implemented initiatives to guide and train their members in understanding the new standards adopted within their espective country.

International standards on auditing were set to provide guidance for audits conducted all over the world. As globalization becomes more prevalent, it is essential that these standards are set to provide guidance in the conductions of audits internationally. Even though there are international standards, each country can develop their own set of standards and adopt some of the aspects of the international standards on auditing. However, there is no requirement that the standards set in a particular country have to be completely identical to those provided by the IAASB. Both the US and China are powerful world leaders with their hands in investments all around the globe. As there is always a risk of financial reporting fraudulency, it is essential that each country has their own standards when it comes to conducting an audit in their country. In the US, the American Institute of Certified Public Accountants (AICPA) established Generally Accepted Auditing Standards (GAAS) to be used as guidance for the CPA’s who are engaged to perform an audit. However, after the the Sarbanes Oxley Act of 2002, the Public Company Accounting Oversight Board (PCAOB) was created to oversee the audits of public companies in order to protect stakeholders interest in the preparation of informative, accurate and independent audit reports. Even non-U.S. public accounting firms that audit or play a substantial role in the audit of U.S. issuers, brokers, and dealers are subject to oversight by the

The International Financial Reporting Standards Foundation (IFRS) and the International Accounting Standards Board (IASB) replaced the International Accounting Standards (IAS) and the International Accounting Standards Committee (IASC) in 2001. “The IFRS Foundation is the legal entity under which the IASB operates.” The objectives of the IFRS are to develop and enforce high-quality global financial reporting standards for all users of financial information. These objectives consider the requirements of a range of companies of varying categories and sizes with “diverse economic settings.” They encourage the acceptance of IFRSs by the IASB through the unification of “national accounting standards and IFRSs (Deloitte Global Services

The IASB Conceptual Framework is a framework developed by the International Accounting Standards Board (IASB). In a nutshell, what this framework does is to lay out the concepts needed for accurate preparation and presentation of financial statements to external users such as auditors, tax authorities, investors, regulatory authorities and so on. According to the IASB, the Conceptual Framework for Financial Reporting does the following;

International Accounting standards board (IASB) with its capable team of professionals issues International Financial Reporting Standards (IFRS) in order to deal with the problem of asymmetric information. The main purpose of standards is to provide information to the users as to the basis on which the accounts have been prepared to bring about uniformity in financial reporting and to ensure consistency in the data published by enterprises. The general idea is to harmonize accounting standards around the world, however there are contrasting views on the subject.