feb08b2.indd internet resources Colleen D. Anderson Accounting and auditing resources Sites for the investor, academic, and practitioner Understanding and trust are factors critical to the stable working of the securities markets. Investors need to have accurate and relevant information about companies in order to invest wisely. Accounting profes­ sionals ensure investors have access to this information. Management accountants man­ age the internal finances and prepare reports for internal users; certified public accountants prepare financial statements for external us­ ers and auditors review these statements and certify the accuracy of the reporting. Account­ ing standards developed by the Financial Accounting Standards Board (FASB) and the Governmental Accounting Standards Board (GASB), the U.S. standard setting bodies, ensure that reported fi nancial information is complete, consistent, comparable, and objective. Enforcement of the verity of the reported information is in the hands of the U.S. Securities and Exchange Commission (SEC), the agency authorized by Congress to protect investors against accounting fraud, the presentation of false or misleading informa­ tion, and insider trading. Since 1934, SEC has been a critical advo­ cate for investors; however, the 2001 Enron disaster brought to light the need for addition­ al regulation. In 2002, President Bush signed into law the landmark Sarbanes­Oxley Act, legislation that created the Public Company Accounting Oversight Board (PCAOB), a stan­ dard setting body that also provides oversight of large accounting firms and their auditors. The work of SEC and PCAOB protects inves­ tors against the chaos that would result from a lack of trust in the information investors have available to them to make responsible decisions when purchasing securities. Accounting and auditing standards can seem confusing and overwhelming because of their variety and number. GAAP, or gen­ erally accepted accounting principles, are accounting rules set by FASB and GASB under the auspices of the U.S. Securities and Exchange Commission. Though companies may use different accounting methods (cash vs. accrual), public companies are expected to report their financial information in ac­ cordance with GAAP’s uniform standards and guidelines. GAAS, Generally Accepted Auditing Standards, are guidelines auditors use when they conduct audits on companies. These guidelines are established by the Auditing Standards Board within American Institute of Certified Public Accountants (AICPA) and include general standards, standards of fieldwork, and standards of reporting. SAS, Statements on Auditing Standards, are reports that represent preferable auditing standards and practices. These are issued by the audit­ ing standards executive committee within the AICPA. Drafts of standards, or Exposure Drafts, are usually posted for public com­ ment, and after these comments have been considered, the final standard is released. Colleen D. Anderson is head of reference services at Bryant University in Smithfield, Rhode Island, e-mail: canderso@bryant.edu © 2008 Colleen D. Anderson C&RL News February 2008 96 mailto:canderso@bryant.edu Along with need to prevent major cor­ porate scandals such as Enron, another main reason for the increasing number of accounting standards and regulations is the development of global business and securities markets. As business transactions increas­ ingly occur across borders, and investors place money in global markets, accounting professionals need agreed upon international accounting standards that provide the same clarity, consistency, and transparency as U.S. standards. The International Accounting Stan­ dards Board (IASB) introduces and fi nalizes global accounting standards and partners with FASB to ensure fair and accurate international fi nancial reporting. Investors, academics, and practitioners can now take advantage of the wealth of account­ ing and auditing information available on the Web through the standard setting and gov­ ernmental sites. The following is a sampling of those sites with a note on the publications made available through each. Standard setting bodies • Financial Accounting Standards Board (FASB). FASB was established in 1973 and is an independent designated body in the private sector for establishing fi nancial accounting and reporting standards that govern the preparation of fi nancial reports. Standards promulgated by FASB are recog­ nized as authoritative by the Securities and Exchange Commission and by the American Institute of Certified Public Accountants. Full­ text publications available on the Web site under the FASB Pronouncements and EIFT Abstracts link include FASB pronouncements, Statements of Financial Accounting Stan­ dards, Statements of Financial Accounting Concepts, FASB Interpretations, FASB Tech­ nical Bulletins, and EIFT Abstracts. Access: http://www.fasb.org. • Governmental Accounting Standards Board (GASB). Financial reporting at both the local and national levels of government provide information for making economic, political, and social decisions and also help ensure the government’s accountability to its citizens. Formed in 1984, GASB is an indepen­ dent, private­sector, not­for­profi t organiza­ tion that establishes and improves standards of state and local governmental accounting and financial reporting. Summaries and status information on GASB documents—including GASB Statements, GASB Concepts Statements, and GASB Interpretations—are available un­ der the Users link on the left banner. Access: http://www.gasb.org. • International Accounting Standards Board (IASB). IASB, founded in April 2001 by the International Accounting Standards Committee Foundation (IASCF), develops and sets global accounting standards known as International Financial Reporting Standards (IFRS). Final published standards consist of both International Financial Reporting Stan­ dards and standards issued by the Board of International Accounting Standards Com­ mittee (IASC) and known as International Accounting Standards. The Norwalk Agree­ ment between the FASB and IASB commits to the development of compatible account­ ing standards that can be used for domestic and cross­border financial reporting. Print copies of International Financial Reporting Standards and/or an online subscription to eIFRS can be purchased on the IASB Web site. Access: http://www.iasb.org/. Enforcement and regulatory bodies • The Public Company Accounting Oversight Board (PCAOB). PCAOB is a private sector, nonprofit corporation created by the Sarbanes­Oxley Act of 2002 to oversee auditors of public companies. A Standard Advisory Group advises the Board on the establishment of auditing and related pro­ fessional standards, and proposed standards are ordinarily published for public comment. After comments have been received and considered, the Board adopts a fi nal standard that must be approved by the Securities and Exchange Commission. The full text of Audit­ ing Standards, Interim Standards, and Rules are available under the red Standards tab located on the banner at the top of the Web site. Access: http://www.pcaob.org/. February 2008 97 C&RL News http:http://www.pcaob.org http:http://www.iasb.org http:http://www.gasb.org http:http://www.fasb.org • U.S. Securities and Exchange Com­ mission (SEC). Most investors know the SEC site as the place to go to obtain required fi nancial filings on public companies. Additional in­ formation relevant to accountants is located under the Information for box located in the upper righthand section of the homep­ age. Click on the Accountants option in the box to access a left bar menu with a link to Enforcement, which posts the Division of Enforcement’s selected Accounting and Auditing Enforcement Releases. These docu­ ments provide public access to enforcement actions. The Accounting link on the menu provides access to Staff Accounting Bulletins, which explain SEC’s views regarding ac­ counting­related disclosure practices. Access: http://www.sec.gov/. Professional associations • American Accounting Association (AAA). AAA is an organization of persons interested in accounting education and research. The association’s mission is to pro­ mote worldwide excellence in accounting education, research, and practice. Its Web site includes free access to faculty development materials, job posting for teaching positions in accounting and auditing, and links to infor­ mation about its journals and newsletters. The site also includes links to the AAA’s journals: The Accounting Review, Issues in Accounting Education, and Accounting Horizons. Access: http://aaahq.org/. • American Institute of Certified Public Accountants (AICPA). With some 350,000 members, AICPA is the largest na­ tional professional organization of certifi ed public accountants. The institute’s mission is to provide leadership as well as resources to CPAs to ensure standards of professionalism are established and maintained. The daily work of the organization involves helping to set standards for CPAs, developing and enforcing professional standards, and advo­ cating for members before governmental and regulatory bodies. AICPA’s involvement with FASB includes providing technical support, standard­setting, and guidelines in conjunc­ tion with FASB’s work. Links to the full text of authoritative audit and attest standards are located under the Professional Resources tab on the Web site’s left bar menu; select Ac­ counting and Auditing and then Authoritative Standards. AICPA also publishes and makes available a link to its well­known Journal of Accountancy, a journal of the latest news and developments in the field of accounting. Access: http://www.aicpa.org/. • Institute of Internal Auditors (IIA). IIA is an international professional organiza­ tion of 130,000 members working in the fi elds of internal auditing and risk management. The mission of IIA is to provide global leader­ ship to the internal auditing profession by its work with certification, education, research, and technological guidance in the profession. Materials on IIA’s site include information on how to become certified as an internal audi­ tor, research reports (some free online), job postings, and a link to the site for the internal auditing profession’s leading journal, Internal Auditor. Access: http://www.theiia.org/. • Institute of Management Accoun­ tants (IMA). Management accountants work inside organizations to ensure their eco­ nomic viability. Their daily work includes tasks such as budget­ ing, forecasting, designing and monitoring busi­ ness processes and internal con­ trols, and manag­ ing information. IMA is a profes­ sional association supporting and empower­ ing management accountants and fi nancial professionals. The association’s Web site makes available information on preparing for and taking the Certifi ed Management Ac­ countant and the Certified Financial Manager exams. The site also includes a Research C&RL News February 2008 98 http:http://www.theiia.org http:http://www.aicpa.org http:http://aaahq.org http:http://www.sec.gov Center for Excellence that establishes and promotes best practices and an Ethics Center that links to IMA’s Statement of Professional Practice. There is also a link to IMA’s fl ag­ ship journal Strategic Finance, reporting on practices and trends in fi nance, account­ ing, and information management. Access: http://www.imanet.org/. • International Federation of Accoun­ tants (IFAC). This global organization for the accountancy profession represents 2.5 million accountants and works with 158 member organizations in 123 countries. IFAC includes and uses standard setting boards to develop international standards on ethics, auditing and assurance, education, and public sector accounting standards. IFAC also issues policy positions on topics of public interest. Its vari­ ous committees post Exposure Drafts on the Web site for comment, and final copies of stan­ dards can be purchased under the bookstore link. The Articles & Speeches link provides free access to the full text of articles published by IFAC’s leadership and other accounting profes­ sionals. Access: http://www.ifac.org/. Licensing board • The National Association of State Boards of Accountancy (NASBA). Licens­ ing and continuing education requirements for accountants are set by 55 individual state boards of accountancy (including the Com­ monwealth of Northern Mariana Islands, Guam, Puerto Rico, the Virgin Islands, and Washington, D.C.). NASBA serves as a forum for these boards and seeks to improve their effectiveness. Materials on the site include a State Board of Accountancy Listing, an Accountancy Licensing Library, which, for a minimal fee of $35 for three months of ac­ cess, permits users to view the requirements and procedures for their state’s license(s), and information on state procedures and requirements for taking the CPA exam and the IQEX exam (an exam for internationally trained accountants seeking a reciprocal CPA designation in the United States). The site also provides a link to the Center for the Pubic Trust, which was center established to pro­ mote ethical thinking and behavior. Access: http://www.nasba.org/. Blogs • CPASense. Developed and maintained by Milt Baker, a retired but still active CPA. Blog content discusses diverse issues such as tax rules, financial planning, or selecting a CPA. Much of the content has been taken from other prominent accounting and tax sites, tax publishers, or the IRS. Some of the entries focus on happenings in Michigan, where Baker resides. A fine selection of well­ organized content. Access: http://cpasense. blogspot.com. • Inside Sarbanes­Oxley. The impli­ cations of Sarbanes­Oxley in the world of financial reporting are profound enough to give this blog a useful role in any account­ ing professional’s life. The authors of this blog describe the 2002 legislation as “The most demanding requirements placed on publicly traded companies since the Securi­ ties and Exchange Act of 1933…” The blog updates readers using studies produced from governmental and standard setting bodies, as well as professional consultants. Topics covered include compliance, legislative ac­ tions, corporate governance, new proposed standards, and implications of U.S. accounting standards for international companies. Access: http://www.insidesarbanesoxley.com/. Portals • AccountantsWorld. Sign up for a free lifetime membership to this accounting portal to access current news, stories, and articles on timely accounting topics. Distinctive fea­ tures of the site include its Tools of the Trade and the Comprehensive Research & Resources links. A link to the full text of one of the leading accounting journals, Abacus, is also provided. Access: http://www.accountingworld.com/. • Rutgers Accounting Web (RAW). RAW is a site from Rutgers University that posts current accounting research and links to an accounting portal. Work from the drop down February 2008 99 C&RL News http:http://www.accountingworld.com http:http://www.insidesarbanesoxley.com http:blogspot.com http://cpasense http:http://www.nasba.org http:http://www.ifac.org http:http://www.imanet.org box at the top of the site to view your desired content. The Accounting Research Directory link lists, evaluates, and categorizes major articles published between 1963 and present in nine leading accounting journals (registra­ tion is free). The Accounting Resources portal includes links to the Big Four accounting firms, journals and publications, state CPA as­ sociations, newly released books, and more. Access: http://raw.rutgers.edu/. • SmartPros.com News & Information Portal. SmartPro.com’s News & Information Portal is one of the most comprehensive sources available for accounting information. Access information by topic using the drop down box or the area of interest links located at the top of the page. Topics covered under areas of interest include full text news on do­ mestic and international accounting, auditing, ethics and compliance, financial planning, and more. The horizontal gray banner at the top of the page provides access to a Resource Library tab with links to Resources & Tools for accoun­ tants (mostly standards setting bodies and as­ sociations), Newsletters & Journals, CPA Exam Study Guides & Vendors, and an Auditing Glossary of Terms. Access: http://accounting. smartpros.com/. Miscellaneous • Simple Studies Free Introduction to Accounting Lessons. Free accounting les­ sons presented in an understandable format that provide an introduction to the principles of financial accounting. Modules include an and more. Each mod­ Accruals, Accounting for Deferrals, Double­ ule contains exercises to test your knowledge Introduction to Accounting, Accounting for entry Account System, and a link to the site’s Accounting Glossary. Access: http://www.simplestudies.com/. • Ten Steps to Accounting Research. Written by Peter Z. McKay, business librar­ ian at the George A. Smathers Libraries at the University of Florida, this site explains how to organize the research process to fi nd information on a particular accounting topic. References to print and electronic resources and links to relevant literature and bodies are included throughout the text. Access: http://web.ufl ib.ufl .edu/cm/business/tutors /acctutor.htm. References Accounting Standards and Auditing Stan­ dards, (1998), published by Consultative Group to Assist the Poor (CGAP) at www. microfi nancegateway.org/fi les/2722_02722. pdf. Facts About the IFA, (Nov. 2007) at www. ifac.org/MediaCenter/fi les/Facts_About_IFAC. pdf. The Investors Advocate: How the SEC Protects Investors, Maintains Market Integrity, and Facilitates Capital, (2007) at www.sec. gov/about/whatwedo.shtml. A Roadmap for Convergence between IFRS and U.S. GAAP—2006­2008: A Memo­ randum of Understanding between the FASB and the IASB, (27 February 2006) at www. iasb.org/NR/rdonlyres/874B63FB­56DB­4B78 ­B7AF­49BBA18C98D9/0/MoU.pdf. Vanderbilt University’s Peabody College, ranked among the nation’s top five schools of education, offers innovative summer programs for education professionals, including: The Summer Institute for Academic Library Leadership July 6-10, 2008 Nashville, Tennessee For additional information or to begin an application for consideration as a summer fellow, visit our Web site at http://peabody.vanderbilt.edu/ppi.xml or call (615) 343-6222. For priority consideration, applications are due by March 1, 2008. PPI has a limited number of IMLS- funded scholarships available for librarians from under-represented groups as well as leaders of libraries in historically black colleges and universities, tribal colleges, and Hispanic-serving institutions. C&RL News February 2008 100 http://web.ufl http:http://www.simplestudies.com http:smartpros.com http://accounting http:SmartPros.com http:http://raw.rutgers.edu