2021 Accounting and Auditing Update

Author: Pat Patterson

Since July of 2009 every standard in the CPA profession has changed or is being changed. Are you up to date? This course includes an update of the difficult and frequently found accounting, auditing, attestation, review, compilation, preparation, and ethical issues in the CPA profession.

The session includes situations and problems caused by the Coronavirus Pandemic (COVID-19). This program reviews new FASB pronouncements, new Audit issues, new SSARS requirements, new Attestation Standards, and potential future changes for Information Technology impacts. All areas are for recent years and the future. Engagement letters, changes to reporting formats, disclosure requirements, documentation requirements, and engagement administration matters are presented. Issues presented include GAAP for revenue recognition, financial instruments, leases, and international implications. An insight into the new and revised AICPA Code of Professional Conduct with its changes for those in public accounting, in business, and others is presented for changes and updates in the accounting profession. New standards for preparation, compilation, review, attestation, and audit engagements are examined for current and future application. This information includes recently issued ASUs, SASs, SSARSs, and SSAEs up to the date of the course. Further inclusion will be changes for audit reporting where the AICPA’s ASB, The SEC’s PCAOB, and the IAASB’s ISA reporting models will be converged for some or all their audit reporting models soon. This session connects the dots.

Publication Date: December 2021

Designed For
CPAs that need to be updated and current on professional standards in their professional areas for their firm, their clients, their employers, client applications; and to meet the continuing professional education requirements of their state’s laws.

Topics Covered

• FASB Accounting Standards Updates (ASUs) from 2019
• FASB Accounting Standards Updates (ASUs) From 2020
• FASB Accounting Standards Updates (ASUs) from 2021
• AICPA Auditing Standards Update: 2021
• AU-C Section 700: Forming an Opinion and Reporting on Financial Statements
• Illustrations 1-7
• New SASs
• Changes to Attestation from the Auditing Standards Board
• The Challenge of Compilations and COVID-19
• Sound Professional Judgment
• Modified Compilation Reports
• Selected Accounting and Financial Reporting Specific Matters
• Unusual or Infrequent Events
• The Changes to SSARS
• GAAP and COVID-19
• Fair Value of Investments
• Asset Impairments
• Unusual or Infrequent Events
• Deferred Tax Assets
• Going Concerns, Emphasis of Matter, and Scope Limitations and COVID-19
• Subsequent Events and COVID-19: Past, Present, and Future
• Risks and Uncertainties Plus COVID-19
• Subsequent Events and COVID-19: Past, Present, and Future
• Auditors and Client's Internal Control
• SOC 1 Reports and Auditors
• Use of External Confirmations
• Use of Management Representation Letters

Learning Objectives

• Describe updates on recent FASB standards issued
• Describe updates on selected effective date changes
• Recognize and apply updates on proposals from the FASB
• Recognize and apply updates on Auditing Standards Board SASs from the AICPA
• Recognize and apply updates on Auditing Standards Board SSAEs from the AICPA
• Describe updates on attestation standards
• Describe updates on preparation and compilation standards
• Recognize and apply updates on the challenges of nondisclosure Preparation and Compilation Engagements and the Coronavirus 2019 pandemic
• Identify challenges of COVID-19 and GAAP, Auditing, and Preparation, Compilation, and Reviews
• Recognize when ASUs were issued and the effective dates
• Identify how ASUs apply to various scenarios
• Identify an example of a contributed nonfinancial asset to a not-for-profit entity
• Identify correct statements regarding SAS Nos. 134-140
• Describe an example of an indefinite-lived intangible asset which may need to be tested for impairmen
• Recognize a circumstance of when an auditor is most likely to find it unnecessary to obtain a SOC 1 report

Level
Update

Instructional Method
Self-Study

NASBA Field of Study
Accounting (4 hours), Auditing (4 hours)

Program Prerequisites
General understanding of the GAAP, GAAS, and SSARS standards.

Advance Preparation
None