Question

In: Accounting

Describe on the roles of the CPA firms and the Institute of CPA. Do they share...

Describe on the roles of the CPA firms and the Institute of CPA. Do they share the same roles? Why or Why not

Solutions

Expert Solution

A CPA Firm is an entity consisting of one or more CPA members.

Role of CPA Firms:

Auditing – The firms conduct the detailed audit of books of account so as to give an opinion on financial performance and position of a company.

Tax Advisory – The firms assist the companies with their tax planning and compliance process.

Business Consulting – The CPA firms also provide consultancy services on various aspect of business right from setting up a business plan to financing.

AICPA is a governing body providing the framework for CPA and CPA firms.

Role of Institute of CPA:

Setting up standards – AICPA develops standards for audit of companies and other services offered by CPA firms / CPA.

Examination and Continuous Learning – AICPA regulates the examination for enrolment as a CPA and also provides guidance materials for continuous development of its members.

Ethical Compliance – AICPA prescribes and monitors the code of ethics for governing actions of its members and CPA firms to upheld the high professional standards of the profession.

As described above, the role of CPA firms and AICPA is certainly not the same. CPA firms regulate the functioning of company through independent audit and opinion while AICPA regulates the action of CPA Firms and its members.


Related Solutions

Answer the following questions in detail : a)Describe on the roles of the CPA firms and...
Answer the following questions in detail : a)Describe on the roles of the CPA firms and the Institute of CPA. Do they share the same roles? Why or Why not? b)Discuss the elements of quality control as it relates to a CPA firm
In your own words, describe the four social responsibility models and the roles of each. Share...
In your own words, describe the four social responsibility models and the roles of each. Share one example of a company displaying the complete social responsibility spectrum successfully. Why do you think so? (Productivism, Progressivisim, Philanthropy, and Ethical Idealism)
Identify and describe the public policymaking roles for each of the branches of government. How do...
Identify and describe the public policymaking roles for each of the branches of government. How do they impact health policy in the U.S.?
Describe the various roles of the nurse and the ways in which these roles facilitate change.
Describe the various roles of the nurse and the ways in which these roles facilitate change.
Describe the various roles of the nurse and the ways in which these roles facilitate change....
Describe the various roles of the nurse and the ways in which these roles facilitate change. Leading & Management in Nursing 5th Ed. Author: Patricia S. Yoder-Wise
Question CPA firms are required to communicate with managers and board of directors of clients regarding...
Question CPA firms are required to communicate with managers and board of directors of clients regarding the following aspects, The CPA and their clients’ responsibility; The CPA planned audit timing and audit scope; The critical audit matters the CPA firm identified during the audit, for which they believe these matters should be communicated with the board of directors. The CPA firm independence. Please select one public firm and refer to its latest annual report or other information, prepare a letter...
• Describe the roles of oxytocin and prolactin in breastfeeding
• Describe the roles of oxytocin and prolactin in breastfeeding
What is output market? What are the roles of firms and households in output markets?
What is output market? What are the roles of firms and households in output markets?
a) Discuss each of the four categories of services provided by CPA firms b) Two types...
a) Discuss each of the four categories of services provided by CPA firms b) Two types of attestation services provided by CPA firms ate audits and reviews. Discuss the similarities and differences between these two types of attestation services. Which type provides the most assurance?
Financial statements are based on generally accepted accounting principles (GAAP) and are audited by CPA firms....
Financial statements are based on generally accepted accounting principles (GAAP) and are audited by CPA firms. Do investors need to worry about the validity of those statements?
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT