The Audit Committee Handbook (IIA (Institute of Internal Auditors) Series)

Written to help audit committees plan their agendas and achieve their mission in corporate governance, The Audit Committee Handbook helps professionals: Understand the role and responsibilities of the audit committee with a general update and reality check on auditing cycle activities Identify the developments that impact audit committee practices and the latest techniques and strategies for committee meetings Develop a repertoire of effective strategies to help the board of directors discharge its fiduciary responsibility to the stockholders Prepare a periodic assessment of professional development activities and an informed review of both audit processes and financial reporting processes Understand the legal aspects of the audit committee and role of legal counsel, as well as fraudulent financial reporting Order your copy today! "The Audit Committee Handbook, Fourth Edition serves as an excellent and functional road map for audit committee members, corporate board members, and practitioners operating within today's vastly changing regulatory environment ... providing the tools for better adherence to the newly enacted, higher standards of corporate responsibility."--Jo Ann Golden, CPA, Past president, New York State Society of Certified Public Accountants, Partner, Dermody, Burke & Brown, CPA, PLLC The classic guide to audit committee responsibilities-completely updated to cover the newest regulations Since the publication of the Third Edition of The Audit Committee Handbook in 1999, the accounting world has been turned on its heel by the major debacles of Enron, WorldCom, Tyco, and others. With major reform in the air, audit committee members need the most current information available to help them adhere to thenew guidelines. The Audit Committee Handbook, Fourth Edition fills the needfor an up-to-date reference to help busy professionals perform oversight responsibilities during this time of great financial liability. This newly updated Fourth Edition features: Checklists and practical guidance to help audit committee members meet their responsibilities in this new era of accountability The latest guidance for compliance from the SEC and the major stock exchanges New material addressing the scandals of the past two years andtheir impact on audit committees Guidance from the IIA on how to work with internal auditors Audit committees have come under increased scrutiny due to several high-profile accounting scandals. In all these scandals, the audit committees completely failed in their oversight responsibilities and signed off on fraudulent information. With new, more stringent regulations in place to improve oversight effectiveness, audit committees are now more accountable for their company's financials than ever before. The newly revised Fourth Edition of The Audit Committee Handbook is completely updated to help you comply with the new, stricter regulations. Comprehensive in scope and an invaluable professional reference, this timely revision provides in-depth guidance on all functions and responsibilities of today's audit. Addressing such changes as the Sarbanes-Oxley Act of 2002 and the Securities and ExchangeCommission's final rules amending the securities laws, this Fourth Edition provides up-to-date information on all the functions, duties, and responsibilities of audit committees, as well as their direction in the corporate governance context. Focusing on current trends and developments thatmaximize the effectiveness of audit committees, The Audit Committee Handbook also includes numerous references to leading organizations in both the public and private sectors. Written to help audit committees plan their agendas and achieve their mission in corporate governance, The Audit CommitteeHandbook helps professionals: Understand the role and responsibilities of the audit committee with a general update and reality check on auditing cycle activities Identify the developments that impact auditcommittee practices and the latest techniques and strategies for committee meetings Develop a repertoire of effective strategies to help the board of directors discharge its fiduciary responsibility to the stockholders Prepare a periodic assessment of professional development activities and an informed review of both audit processes and financial reporting processes Understand the legal aspects of the audit committee and role of legal counsel, as well as fraudulent financial reporting The Audit Committee Handbookis a must-have for all audit committee members, board directors, corporate secretaries, CEOs, CFOs, and auditors involved in the accounting practices of their firms The Audit Committee Handbook is a complete revision of what was once entitled The Audit Director's Guide. This Handbook offers comprehensive guidance to all functions, duties, and responsibilities of audit committee members as well as their directors. It reflects recent changes in law and accepted practice and provides a complete survey of the relevant literature, and recent developments in the field including: the Report of the National Commission on Fraudulent Business Practices; the FDIC Improvement Act of 1991, changes in accounting standards and pronouncements by the FASB, AICPA, SEC, and the Institute of Internal Auditors, and a review of criticism and litigation resulting from business failures. Conveniently organized into four parts for easy reference, the Handbook begins with an overview of the audit committee's functions and responsibilities, then moves on to detailed discussions of its three main functions: planning an audit, monitoring and supervising an audit, and reporting audit findings to the board of directors. Extensive appendixes include a glossary, a historical overview of audit committees, and relevant excerpts from all major legislation and professional guidelines and codes of ethics dealing with the function of the audit committee and the internal auditing process. For accountants, financial officers, CEOs, managers and auditors, it offers insights into the purpose and function of the audit committee and practical guidelines for developing a productive relationship with the audit committee. For all, the main thrust of this book is to maximize the effectiveness of the audit committee and thus bolster stockholder confidence in the internal auditing process. Over the past decade, the number of companies with audit committees has increased dramatically. The scope of these committees' power and responsibility has expanded, as recommended by the 1987 National Commission on Fraudulent Financial Reporting. All of the major stock exchanges now require their listed companies to maintain audit committees, and all but small insured depository institutions are now required by the federal government to have audit committees. The new emphasis on audit committees has made committee members liable for the effective fiscal governance of corporations. In addition, the rapid growth of and the liability now placed on these committees have left them vulnerable to the criticism that committee members do not fully understand their duties and responsibilities. . Pt. 1. Getting Acquainted With Your Responsibilities -- 1. Corporate Accountability: The New Environment -- 2. Audit Committees: Basic Roles And Responsibilities -- 3. The External Users Of Accounting Information -- 4. The Legal Position Of The Audit Committee -- 5. Rules Of The Road -- Auditing And Related Accounting Standards -- Pt. 2. The Planning Function Of The Audit Committee -- 6. An Overview Of Audit Planning -- 7. Audit Committees's Role In Planning The Audit -- Pt. 3. The Monitoring And Reviewing Functions Of The Audit Committee -- 8. Monitoring The System Of Internal Control -- 9. Monitoring The Internal Audit Function -- 10. Reviewing Accounting Policy Disclosures -- 11. A Perspective On Fraud And The Auditor. Louis Braiotta, Jr. Includes Bibliographical References And Index. Audit committees are now mandatory in the U.S. for publicly-held companies, and are quickly becoming mandatory for publicly-held companies around the world. As the only comprehensive reference on audit committees in the marketplace, this book explains all functions and responsibilities of audit committees, and provides step-by-step coverage of all phases of the audit committee members' tasks This Fourth Edition provides comprehensive guidance on all functions and responsibilities of the audit committee, including guidance from the IIA on working with internal auditors and from the SEC and the major stock exchanges on audit committees. New material also addresses high-profile scandals their impact on audit committees