The Committee For The Equity Funding Among Other Scandals

770 Words Aug 19th, 2016 4 Pages
There were other developments that ensued. These included the designation of the Cohen Commission to the Equity Funding among other scandals. Moreover, there was the institution of a SEC Practice Section and a Private Companies Practice Section that was tasked to do peer review and quality review. The promulgation of SEC’s Accounting Series Release 250 that required corporations to report to the ratio of non-audit to audit fees was also one of the developments. Finally, there was the issuance of SSARs No. 1 that described assessment and compilation and stipulated the form of reports that were to be submitted.
1980’s to 1990’s
In collaboration with the National Association of State Boards of Accountancy, the AICPA published the first bill that would standardize the public accounting practice. This was legislated in the Uniform Accountancy Act. Moreover, the Restructuring Professional Standards to Achieve Professional Excellence in a Changing Environment was issued by the Anderson Committee as a reply to concerns regarding the profession’s competence to serve the public interest and maintain their trust.

In the mid1980s, the National Commission on Fraudulent Financial Reporting or the Treadway Commission detailed how financial frauds could be curtailed or prevented and how auditors could minimize the “expectations gap” amongst themselves and the public. In addition, the peer review program became compulsory, as instructed by AICPA. Meanwhile, the AICPA Special Committee on…
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