Accountant Responsibility

controllers Responsibility insertion The restrainers patriarchal feather role is to maintain the information in the monetary statements in accordance with the chiefly Accepted Auditing Standards (GAAS) and to arrest that they adjust to Generally Accepted Auditing Principles (GAAP) which atomic number 18 both provided by the American add of Certified man Accountants (AIPCA). The accountant is obligated for stiffness of the monetary statements. The accountants overly keep a professional crinkle to resolve the public with integrity, objectiveness and with due diligence. Accountants also hire a responsibility to get and report fraudulent and felonious activities their clients whitethorn be booked in. Apart form ensuring the correctness of the financial statements, the accountant also has a responsibility to ensure that an arrangement has strong and legal internal controls (Securities and Exchange Commission, 2008). Accountants Responsibility Responsibility to trine parties Third party entities such as potential investors, creditors and banks leave behind normally commit on the financial statements prepared by the accountants to vex closings. The accountants report provides trust that the financial reports can be relied on.

Generally, the accountant is non apt in contract with a troika party as at that place is not contract between the accountant and the third party. However, the accountant has a statutory liability to investors and new(prenominal) third parties who rely on the reports the accountant may restrain prepared to make their enthronement decisions. Though hired by the focus, his or her responsibility extends that of the management to those who rely on the financial statements in their decision making (John, 2003). There are tierce rules that are usually employ in relation to accountants responsibility to the third party. First is the ultramares privity rule where the accountant is only responsible to the client. Secondly, is the foreseeability progress where the accountant...If you want to get a full essay, auberge it on our website: Ordercustompaper.com

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