AICPA Provides Information, Resources on Financial Crisis and Rescue Plan

As this issue of The CPA Letter was finalized, the U.S. Congress was voting on a rescue plan that intended to stabilize the financial services industry and capital markets for the benefit of both Wall Street and Main Street. The AICPA urged Congress and regulators to craft a bipartisan rescue package that will restore liquidity to the market, increase economic growth and create jobs. The Institute also has been working with the media to inform the public and investors about the current economic situation so Americans can gain a greater understanding of the issues involved.

In addition, the Institute has been providing members with information, resources and tools to help them advise their employers and clients on business and personal financial planning strategies. Here are some of the AICPA’s activities during the past two weeks.

Two special issues of AICPA News Update. One explained that the Institute urged Congress to come together to help solve the nation’s credit crunch and its fallout. Another recognized the disparate points of view among members regarding fair value accounting and pointed to an FAQ the AICPA developed on the subject (www.aicpa.org/mediacenter/fva_faq.htm).
The Governmental Audit Quality Center issued an alert regarding the news that a short-term bond fund in which nearly 1,000 colleges and universities nationwide had invested was being terminated and that use of their funds was restricted as a result.
The personal financial planning community stepped up to provide guidance, hosting a free Webinar on how to advise and communicate with clients during these difficult financial times. The Oct. 8 Webinar will be available as a podcast after the live event.
A video Webcast on keeping your business or firm competitive, and even growing your business in a weakened economy, was produced.
Media coverage of the credit crunch, proposed financial rescue measures and discussion of fair value accounting were included in CPA Letter Daily.
The Center for Audit Quality (www.thecaq.org), an AICPA affiliate that serves investors, public company auditors and the markets, sent a letter to Congress urging it to reject calls for mark-to-market accounting rule suspension. It also joined with the Council of Institutional Investors and the CFA Institute in issuing a statement, which received media coverage, on its position.
State CPA societies received articles and information to assist in communications with their members.
Events are unfolding, and changing, rapidly. Members are encouraged to stay informed through AICPA News Update and CPA Letter Daily. For those who have not signed up to receive CPA Letter Daily, a new, free AICPA e-newsletter, each day’s news is included in the CPA Letter Daily news box on the www.aicpa.org homepage. AICPA information and resources also are featured in the daily’s articles.