Exposure draft of new fraud standard released for comment. (accounting & auditing news).The Auditing Standards Board In the United States, the Auditing Standards Board (ASB) is the senior technical committee designated by the American Institute of Certified Public Accountants (AICPA) to issue auditing, attestation, and quality control statements, standards and guidance to certified public on Feb. 28 issued an exposure draft titled Consideration of Fraud in a Financial Statement Audit (The CPA (Computer Press Association, Landing, NJ) An earlier membership organization founded in 1983 that promoted excellence in computer journalism. Its annual awards honored outstanding examples in print, broadcast and electronic media. The CPA disbanded in 2000. Letter, Feb./Mar.). This proposed statement, which represents a revision of SAS (1) (SAS Institute Inc., Cary, NC, www.sas.com) A software company that specializes in data warehousing and decision support software based on the SAS System. Founded in 1976, SAS is one of the world's largest privately held software companies. See SAS System. No. 82, establishes standards and provides guidance to auditors in fulfilling their responsibility as it relates to fraud in an audit of financial statements conducted in accordance with generally accepted auditing standards Generally Accepted Auditing Standards, or GAAS, are ten auditing standards, developed by the AICPA, consisting of general standards, standards of field work, and standards of reporting, along with interpretations. . The exposure draft also includes Appendix B, "A Proposed Amendment to SAS No. 1, Codification of Auditing Standards and Procedures (AICPA AICPA See American Institute of Certified Public Accountants (AICPA). , Professional Standards, vol. 1, AU section 230, `Due Professional Care in the Performance of Work')." The ASB believes that the requirements and guidance provided in the proposed statement, if adopted, would result in a substantial change in auditor performance and thereby improve the likelihood that auditors will detect material misstatements due to fraud in a financial statement audit. The proposed statement's adoption also would result in increased focus on professional skepticism in the consideration of the risk of fraud in a financial statement audit. More information about the exposure draft can be found in this issue's public accounting supplements (see page 2 for access instructions). Comments should be received by May 31. For a copy of the exposure draft: [computer] www.aicpa.org/members/div/auditstd/ consideration_of_fraud.htm |
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