The AICPA Relationship In Auditing The Auditing Standards For Public Accounting

The American Institute of Certified Public Accountants (AICPA) is the world’s largest representation of certified public accountants (CPAs). Established in 1887, the AIPCA serves as an advocate for CPAs, CGMAs, and has a mission of powering the success of global business, CPAs, and CGMAs through the use of education, resources, and advocacy (AICPA, 2016). The AICPA supports FASB by providing technical support, standard setting, and guidelines to CPAs nationwide. Because accounting is complex in nature this governing body works in collaboration with other institutes to ensure that organizations are adhering to the accounting standards established under the General Accepted Accounting Principles (GAAP). This paper will focus primarily on the AICPAs relationship in advising the FASB, their function in setting the auditing standards for public accounting firms and their relationship with authoritative rule making boards such as The International Accounting Standards Board (IASB), The Government Accounting Standards Board, and the HFMA Principles and Practice Board. Standard setting in the accounting industry has a long and …show more content…
To provide the proper guidance and ensure that companies are adhering to GAAP FASB seeks advisement from the AICPA and depends on the education and resources provided by the institute, to its members, to shape the practices used throughout the industry. In regards to advisement the AICPA supports the FASB’s board by providing technical supports, standard setting through its auditing board, and provide guidelines to CPAs nationwide. In addition to this the AICPA consults with the FSAB on issues facing the industry’s environment, and works to identify and implement a process for evaluating potential changes in recognition, measurement and disclosure from