ACC 521 Chapter Notes - Chapter 2: Financial Audit, Audit Risk, Financial Statement
Document Summary
Chapter 2 auditors" professional roles and responsibilities. A five member board created to oversee the auditors of public companies. Increased penalties for corporate wrongdoings: more timely and extensive financial disclosures. Regulation of public accounting in canada is a provincial matter. In recent years, public accounting has been opened to all designations of accountants. In addition to provincial regulations, other factors affect the profession, such as securities commissions, federal regulators and the legal environment. Practice standards are general guides for professional work: generally accepted auditing standards (gaas), assurance standards, general standards of quality control for firms performing assurance engagements, quality control standards as reflected in peer reviews and practice inspections. Importance of gaas is that they identify the objectives and key principles of the financial statement audit: must follow cas 200, audit guidelines (augs) part of the cica handbook that provides procedural guidance on.