Exposure Drafts, Comment Letters, and Statements of Position

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Description

This guide has been prepared to assist the independent CPA in examining and reporting on financial statements of commercial banks, savings banks and bank holding companies. Furthermore, it should provide officers and directors of banks and other interested persons with a better understanding of the nature and scope of bank audits conducted by independent CPAs. In the last decade, many changes have occurred within the banking industry. Bank supervisory authorities have taken substantial steps to improve reporting by banks. Bank holding companies have become a major force within the industry, and the range of services offered by banking institutions has expanded. In addition, the supervisory authorities have expressed increased interest in reliance on examinations by independent CPAs. Furthermore, since 1971, the Securities and Exchange Commission (SEC) has required audits of the financial statements of banks included in filings with the SEC. In light of these developments, the American Institute of Certified Public Accounts (AICPA) Committee on Banking (Committee) has undertaken a revision of the banking industry audit guide, Audits of Banks, originally published in 1968 and supplemented in 1969. This guide is a complete revision of that publication. This guide emphasizes aspects of accounting and auditing unique to the banking industry. It reflects the presumption that the CPA has knowledge in areas of accounting and auditing common to business enterprises in general. The discussions in the sections relating to auditing are designed to present typical situations in banking, including some important questions the CPA should consider in his review of internal accounting controls of banks. However, those discussions do not necessarily cover all situations a CPA might encounter. Finally, references to the statements on auditing standards of the AICPA and the authoritative accounting pronouncements of the Financial Accounting Standards Board (FASB) and its predecessor organizations, including the Accounting Principles Board (APB) are intended to include the specific pronouncements as well as all subsequent amendments to them. In addition, the CPA should be familiar with any auditing or accounting interpretations issued subsequent to the original pronouncements and related amendments.

Publication Date

1980

Relational Format

Book

Keywords

Bank examination -- Standards -- United States

Disciplines

Accounting | Taxation

Comments

Originally published by: American Institute of Certified Public Accountants; Copyright and permission to reprint held by: American Institute of Certified Public Accountants.

Proposed audit guide : audits of banks;Audits of banks; Exposure draft (American Institute of Certified Public Accountants), 1980, Dec. 4

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