What is the Accounting Profession?

Source: The CPA Journal

In November 2005 The CPA Journal carried an article on the future of the accounting profession, as reported by the American Assembly (http://www.americanassembly.org/index.php), a forum “illuminating issues of public policy.” The article is available at http://www.nysscpa.org/cpajournal/2005/1105/perspectives/p6.htm.

The article’s author, Robert Bloom, notes that the report fails to distinguish between the Big Four and the majority of the accounting profession. Most regulatory initiatives of the past 35 years, such as peer review, GAAP and SOX, were targeted at abuses by the Big Eight, Big Six, and Big Four.

Small firms impose their own regulations. To do otherwise would put them in great jeopardy of, for example, ruining their reputations with lenders in the event of reliance on improper audits.

The American Assembly should find out what comprises the accounting profession. The accounting profession is 47,000 firms that serve millions of businesses representing the strength of the U.S. economy. The media, Congress, and the public should be made aware of this.

From The CPA Journal, A Publication of the New York State Society of CPAs, October 2006 (http://www.nysscpa.org/cpajournal/toc/toc1006.htm). For the complete article, click on the following link: http://www.nysscpa.org/cpajournal/2006/1006/perspectives/p10.htm.