The expanded auditors' report: could do better
Article Abstract:
The move to replace the Audit Report, the current auditing report standard, with the the revised version called the Auditors' Reports on Financial Statements aims to increase the worth of such reports through the inclusion of more pertinent information without sacrificing comprehensibility. The revision will thus narrow the expectations gap between auditors and users of the reports. Additional features contained in the new standard will include the functions of directors and auditors, bases of stated opinions and an account of auditing procedures. Unqualified opinion on inherent uncertainties and statements on the limitations of the report and the auditing methods should also be included in the report. These new provisions are expected to facilitate learning and understanding of the duties of auditors by users of auditing reports.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
The expectations gap - the consumer angle
Article Abstract:
The Consumers' Association (CA) is working together with the Auditing Practices Board to revise the 'Guide to Professional Ethics' as a response to the growing muisunderstanding of consumers regarding the services provided by auditors. The move is intended to ease the 'expectation gap' associated with unnecessary apprehensions expressed by the investing public concerning the state of the auditors' report. It is the goal of the CA to assure investors of the true content of financial statements by broadening the scope of the auditors' report. Consumers are expected to gain a greater understanding of the auditors' report through the use of simple and easy-to-understand language that refrains from the use of accounting and other technical jargon.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1992
User Contributions:
Comment about this article or add new information about this topic:
When fraudster and auditor meet
Article Abstract:
The Auditing Practices Board (APB) has released two Statements of Auditing Standards (SAS) designed to guide auditors in the task of uncovering fraud in corporate financial statements. One of these statements is SAS 110, which is entitled 'Fraud and Error,' while the other is SAS 120, which is entitled 'Consideration of Law and Regulations.' The development of these two statements has not been easy. For one, a debate over whether auditors should search for evidence of fraud or search for breaches of law and regulation clouded the development process. In the end, however, the APB opted to resolve the matter by defining differences in the needs and expectations of each approach, leading to the issuance of two statements.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1995
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: The regulation of auditors. Complaints from the DTI about accountants and auditors
- Abstracts: The Force and financial reporting. The single European trade market
- Abstracts: The impact of trading commission incentives on analysts' stock coverage decisions and earnings forecast. The information content of earnings, revenues, and expenses
- Abstracts: The international debt crisis and the Craxi Report. The ongoing weakening of the international financial system
- Abstracts: Caterpillar's clutter cutter. Best of southern California: high-tech wordplay. 7 ways to ruin your business-to-business advertising