February 2007 - Journal of Accountancy

       In the nearly three decades that CPAs have embraced the computer—replacing their yellow columnar pads, pencils and typewriters—they have become more effective and sophisticated at controlling and analyzing corporate finances. But rather than simplifying their work, the intrinsically complicated computer often has made it more challenging. This

         EXECUTIVE SUMMARY Preferred stock—a class of ownership with priority over common stock— once was issued mainly by large companies but now is common in small to midsize privately held companies, too. CPA/ABVs may be engaged to value preferred stock (also called preferred shares) to assist with

         EXECUTIVE SUMMARY Companies took a wait-and-see attitude toward the Roth 401(k) in the plan’s first year, but researchers say 2007 is nearly certain to see rapid growth in participation by companies and enrollment by employees. CPAs can help workers decide between a traditional and a Roth

     PERSONAL FINANCIAL PLANNING/TAX     To Roth or Not to Roth? More choice—and individual responsibility—in retirement investing means workers need to consider their options carefully. by Delton L. Chesser, Charles E. Davis and Timothy S. Thomasson EXECUTIVE SUMMARY Companies took a wait-and-see attitude toward the Roth 401(k) in

         EXECUTIVE SUMMARY More CPAs are finding themselves working with foreign statements. As progress is made in convergence and harmonization between FASB and the IASB, the interpretation of foreign financial statements should become easier. CPAs in the United States should watch these developments carefully and familiarize themselves

         EXECUTIVE SUMMARY Companies have always faced a major issue of how to reflect changes in accounting methods and error corrections in financial statements. In 2005 FASB issued Statement no. 154, Accounting Changes and Error Corrections. The new rules are effective for fiscal years ending after December

     INTERNATIONAL/BUSINESS & INDUSTRY     Found in Translation A guide to using foreign financial statements. by Susan M. Sorensen and Donald L. Kyle EXECUTIVE SUMMARY More CPAs are finding themselves working with foreign statements. As progress is made in convergence and harmonization between FASB and the IASB, the

       Editor’s note: The following is a condensed version of AICPA Chair Jimmy Williamson’s acceptance speech at the October 2006 fall council meeting. ’m from a midsize firm in Alabama. There are fewer than 100 of us in our firm, spread across five offices. But long ago when