Role of the Accountancy Profession

Question 1

Three basic aspects of the professional accountant’s work are:

Answer 1

~ maintaining control and safeguarding assets
~ financial mgt
~ financial reporting

Question 2

UK standards

Answer 2

Financial Reporting Standards (FRSs) produced by the FRC but based on IASs and IFRSs

Question 3

International standards

Answer 3

International Accounting Standards (IASs) and International Financial Reporting Standards (IFRSs) produced by IASB

Question 4

Reserved areas of practice include:

Answer 4

~ statutory audit
~ investment business
~ insolvency
~ probate

Question 5

Compliance approach

Answer 5

a.k.a. rules based

anticipate every possible ethical situation

Question 6

Ethics-based apporach

Answer 6

a.k.a. framework based

fundamental values and qualities

Question 7

The Consultative Committee of Accountancy Bodies (CCAB) has how many members? + purpose

Answer 7

5

provides forum for matters impacting the profession + enables unified voice

Question 8

International federation of Accountants (IFAC)

Answer 8

157 members

best practice guidance for prof accounts employed in business

Question 9

Personal Oversight team has three main roles…

Answer 9

~ independent oversight
~ supervision of auditing profession
~ monitoring of audit quality

Question 10

Financial Reporting Council (FRC) made up of…

Answer 10

~ Conduct committee

~ Codes and standards committee

Question 11

Conduct Committee made up of…

Answer 11

~ professional oversight
~ professional discipline
~ corporate reporting review
~ audit quality review

Question 12

Codes and standards committee made up of…

Answer 12

~ actuarial policy
~ audit and assurance
~ accounting and reporting policy
~ corporate policy

Question 13

Financial ombudsman

Answer 13

settles disputes between providers of financial services and customers