AICPA American Institute of Certified Public Accountants
System of Quality Control for a CPA Firm
(This statement provides that a CPA firm shall have a system of quality control and describes elements of quality control and other matters essential to the effective implementation of the system.)
1. Quality control for a CPA firm, as referred to in this statement, applies to all auditing and accounting and review services for which professional standards have been established.1 Although the provisions of this state-ment may be applied to other segments of a firm's practice, such as providing tax services or management advisory services, their applicability to those segments of practice is not prescribed by this statement, except to the extent that such services are a part of the abovementioned auditing and accounting and review services.
2. In providing professional services, a firm has a responsibility to con-form with professional standards. In accepting this responsibility, there is a presumption that the firm will consider the integrity of individuals in deter-mining its professional relationships, that the firm and its people will be independent of its clients to the extent required by the AlCPA's rules of conduct, and that the firm's personnel will be professionally competent, will be objective, and will exercise due professional care.2 To provide itself
1 Firm is defined in the AICPA rules of conduct as "A proprietorship, partnership, or profes-sional corporation or association engaged in the practice of public accounting, including individual partners or shareholders thereof." Professional standards, as referred to in this statement, are those that relate to the professional qualities and performance of individual members of the AICPA and, accordingly, include the rules of conduct of the AICPA, pro-nouncements of the AICPA Auditing Standards Board and its predecessor committees, and pronouncements of the AICPA Accounting and Review Services Committee.
2. Unless the text states otherwise, the term personnel encompasses all of a firm's profes-sionals performing services to which this statement applies and includes proprietors, partners, principals, and stockholders or officers of professional corporations, and their pro-fessional employees.
Copyright © 1979 by the
American Institute of Certified Public Accountants, Inc. 1211 Avenue of the Americas, New York, N.Y. 10036 First Impression 1979