February 2021 Update

Greetings,

This month has flown by. When we are busy, time moves quickly – it is the start of the day and then it is the end; it is Monday and then it is Friday; it is the beginning of February and then it is the end of the month. My objective is to keep you up-to-date as best I can and help you focus on what you need to do and know right now.  This month, I remind you of effective assurance and accounting standards as well as start you thinking about future standards. But, just as importantly, I have a few tips to help you stay focused. Read on…


Assurance and Accounting Upcoming Changes – Summary

With all of the upcoming assurance and accounting changes, I thought it worthwhile to summarize these so you have all in one place.  This summary was included in last month’s update but included it again to help keep upcoming changes top of mind.    

ACCESS ASK KSA SUMMARY PDF HERE


Agreed-Upon Procedures Engagements (CSRS 4400)

Revised CSRS 4400 Agreed-Upon Procedures Engagements is effective for which the terms of the engagement are agreed on or after January 1, 2022.  Early application is permitted. 

Agreed-Upon Procedures (AUP) engagements provide a great opportunity for small- and medium-sized practices (SMPs) to grow and provide a valued service to their clients.  The IAASB has published a fact sheet which covers the significant changes and outlines an AUP engagement, identifies the benefits to clients of offering such services and when an AUP engagement is appropriate. It covers examples of financial and non-financial subject matters.  The publication includes six short case studies with example procedures that might be applied along with two illustration AUP reports. A very helpful tool. 

READ PUBLICATION HERE


AASB: The Future of Auditing Standards

The Auditing and Assurance Standards Board (AASB) is building its next strategic plan, set to drive Canadian auditing and assurance standards activities between 2022 and 2025. To finalize their plans, they need input to identify issues that matter to you most.  They are hosting a series of short surveys and virtual chats you can participate in to give your views. Discussion topics are being covered once a week starting in late February and ending in March.  Make your voice heard. 

REGISTER FOR AASB PLANNING SESSIONS HERE


Professional Skepticism in  Remote Environment

The COVID-19 pandemic has transformed the way auditors do their work. Government lockdowns and social-distancing guidelines resulted in a shift to remote work for many CPAs.  Auditors face practical challenges when it comes to applying professional skepticism in a remote environment.  CPA Canada interviewed the chair of the Canadian Public Accountability Board’s (CPAB)’s Professional Skepticism Working Group, to  discuss the topic of professional skepticism.  The podcast has first hand examples and good information that is worth the half hour to listen. 

LISTEN TO PROFESSIONAL SKEPTICSM PODCAST HERE


Surviving Busy Season

Our profession is unique in that we are always busy as we meet clients needs.  But there are times of the year that we are busier than others, and we are headed into one of those time now, if not already there. It is always good to take a step back and remind ourselves of practical actions we can take to help things go smoothly.  There are two articles with good ideas to help you through this time; while none of the tips are new or earth-shattering, they are good reminders on what we need to do to survive and be there for our clients.   

1. EIGHT TIPS ON SURVIVING BUSY SEASON (AICPA ARTICLE)

2. TIME MANAGEMENT TIP ARTICLE HERE (SMALL BUSINESS ARTICLE)


CPD Reporting

Just a reminder, if you have not already, make sure you have reported your CPD hours to your provincial CPA body.  The deadline was January 31 and with everything else going on this is an easy thing to overlook.


Over the next few months as you focus on meeting your client’s needs, I have a few projects on the go myself.  These projects include developing ASK KSA CPD on-line on demand courses – I have a number of ideas including Journal Entry Testing, Substantive Analytics, Tests of Detail, Tests of Control among others.  Are there other topics you would like to see on the curriculum?  Just let me know.  The other significant project that is still on the go is the AASB Advisory Group on the Audits of Less Complex Entities.  At our meeting in early March we expect to review the Exposure Draft on the proposed audit standard for LCEs.  Stay tuned. However my first priority is to always be there for you as needed to help save you time and provide you peace of mind.  

Best regards,
Kirsten S. Albo, FCPA, FCA
President
1.204.228.2529
www.ksaconsultinginc.com