The CPA profession is highly regarded for its commitment to excellence and protecting the public. In the face of increased business complexity, we must strive to continue providing quality services. As a result, the AICPA launched the Enhancing Audit Quality initiative in May 2014, followed by the 6-Point Plan to Improve Audits in May 2015. EAQ is a holistic effort to consider auditing of private entities through multiple touch points, especially where quality issues have emerged. The goal is to align the objectives of all audit-related AICPA efforts to improve audit performance.

    EAQ Six Point Action Plan 

    The AICPA has released its 6-Point Plan to Improve Audits. This action plan provides the CPA profession with a roadmap for maintaining and improving audit quality. 

    The plan was developed from staff, stakeholder  and volunteer feedback received on last summer's EAQ Discussion Paper. Review a summary of the feedback.

    To learn more about AICPA’s Six Point Plan to Improve Audits, access the webcast archive from May 20, 2015.

    Peer Review Areas of Focus 

    One tool being used to improve the consistency of quality across the profession is increased focus by firms and peer reviewers on new industries, industries with new or rising risks, audit areas of increased risk or areas with increased inspection matters in the past.

    The AICPA Peer Review Board (PRB) approved the below areas of focus:

    • Independence as it relates to non-attest services provided to attest clients
    • Sufficiency of audit evidence - risk assessment, internal controls, and sampling 
    • Employee benefit plans, including both ERISA and government pensions
    • Municipal security issuers
    • Single audit
    • Crowdfunding 

    Read more about the emerging industries and risk areas identified to date and find resources for each.

    Action Plan Summary 

    Click the image below to see the flyer detailing the AICPA's Six Point Action Plan intended to enhance audit quality.

    AICPA Enhancing Audit Quality 6-Point Action Plan (PDF 383KB)

    AICPA TV 

    Susan S. Coffey, AICPA Senior VP - Public Practice and Global Alliances, discusses the AICPA's roadmap for enhancing audit quality.

    More on AICPA TV

    Practice Monitoring of the Future 

    Feedback is due June 15, 2015 on the concept paper for Phase 2 of EAQ, titled "Evolving the CPA Profession’s Peer Review Program for the Future: A provocative vision of what practice monitoring could become." Please read the paper and provide your input and feedback by June 15, 2015.

    Access more information on the thought-provoking concept here.

    Click the image below to get a close-up of how practice monitoring could look in the future.