Audit and Assurance Articles

Keeping a firm grip on your company’s internal controls can make your audit process run more smoothly and help you avoid major risks year-round.

Disclosures in the form of footnotes can pack a lot of vital information in a company’s financial statements, which is why it’s important to keep them detailed and accurate.

Business leaders are at odds with the FASB over the impact of ASU No. 2023-ED100, which would drastically change the way tax and rate reconciliation figures are disclosed.

The cost of goods sold can account for 70% of a company’s expenses, according to recent discussions by the FASB’s Investor Advisory Committee. However, some companies skimp on details around the costs they incur to produce goods. The FASB’s disaggregation of income statement project could change that.

Businesses and nonprofit groups are gradually adjusting to requirements of the new lease accounting standard, such as bringing most leases onto the balance sheet. Since ASC 842 can seem confusing, here’s a quick guide to ease the adjustment period.

Being fully prepared and organized can help your financial statement audit go smoothly and ultimately save your business or organization time, money, and headaches.

The new lease accounting standards changed in 2019 for public companies. Calendar-year private companies that follow U.S. Generally Accepted Accounting Principles must comply with the updated lease rules in 2022.

During the COVID-19 pandemic, many audit procedures have been performed remotely, forcing auditors to rely more heavily on analytical procedures. It’s important to understand how auditors use analytical procedures to make audits more efficient and effective.

The estimated number of going concerns for the fiscal year 2019 fell to the lowest amount in 20 years, but the pandemic caused financial distress that could bring an end to this downward trend for the fiscal year 2020.

The FASB has changed and simplified the accounting model for goodwill several times over the past decade. Here is a closer look at the evolution of accounting guidance on goodwill impairment testing and an important distinction between judgment and hindsight when evaluating triggering events in this context.

The U.S. Department of Health and Human Services has made changes to the reporting timeline for the Provider Relief Fund Program in light of the recent passage of the Coronavirus Response and Relief Supplemental Appropriations Act.

Getting a letter from the IRS that your tax return is being audited may strike fear into the hearts of business owners. But the more you know about IRS audits, the better you might fare.

The Auditing Standards Board has issued a proposal that would revise its audit standards related to risk assessment. That could mean more audit procedures related to your company’s internal controls, cyberthreats, and other risk factors as your auditors assess your situation.

A meticulous approach to keeping business records can protect your tax deductions and help make an audit much less painful.

New guidelines have been applied to federal programs established due to the COVID-19 pandemic. As a result, many non-federal entities — including many health systems and hospitals — will, for the first time, be subject to single audit or other audit requirements established in the Uniform Guidance.

In response to the COVID-19 pandemic, the implementation deadlines have been deferred for the updated accounting rules for current expected credit losses (CECL), but only for certain entities.

The AICPA’s Accounting Standards Board voted to finalize a revised definition of “materiality” in its professional standards. Learn what’s changing and why.

The Securities and Exchange Commission has adopted a rule that would extend the “test-the-waters” provision of the JOBS Act to all companies with the hope that more will consider going public.

Equity-based compensation awards can help companies attract skilled workers and boost performance, although at a costly price. A rule change could bring welcome relief.

The FASB has approved proposals to delay the effective dates of its leases, credit losses, hedging, and long-duration insurance contract standards.

The FASB intends to give smaller financial institutions more time to adopt its new credit loss standard, but banks should not use this as an excuse to delay preparations for the accounting change.

The AICPA’s Auditing Standards Board unanimously voted to propose revisions to the audit standards on accounting estimates. Here’s a look at how and when estimates are used in financial reporting, and why the AICPA is revising its standards.

A good internal control system can help a company in critical ways, including accurate financial reporting and detection of financial misstatements.

The London Interbank Offered Rate is the most common reference rate in the global financial markets. But, by 2021, it will have been phased out in response to a series of scandals.

A new FASB proposal would delay new accounting rules for leases, credit losses on loans, long-term insurance contracts, and hedge accounting.

New guidance from the FASB means that nonprofit groups can use the same methods available to private companies for reporting goodwill and certain identifiable intangible assets after a merger or acquisition.

Many private companies are still unaware of the balance sheet impact of new lease accounting rules, including lease capitalization requirements, that go into effect starting in 2020.

The Auditing Standards Board is working on a project to amend its definition of “materiality” and address the subtle differences between the international standards and U.S. standards currently in use.

Audit committee best practices are part of a new report released by the International Organization of Securities Commissions in an effort to promote audit quality.

Community banks and credit unions will have more time before they’re required to apply the credit losses standard as a result of new FASB guidelines.

The FASB is in the early stages of developing guidance for performance reporting. The goal is to make it easier for investors and securities analysts to understand how a business works using a company’s financial statements.

As you look for opportunities to cut costs and improve profit, the question of where you can reduce salaries may arise. Co-sourcing internal audit and information technology functions may be an easy way for you to save money and improve your business’s risk management at the same time.