This Audit Risk Alert is intended to provide auditors of financial statements of real estate and construction entities with an overview of recent economic, industry, technical, regulatory, and professional developments that may affect the audits and other engagements they perform. This alert can also be used by an entity’s internal management to address areas of audit concern. This alert is an important tool in helping you identify the significant risks that may result in the material misstatement of financial statements. Moreover, this alert delivers information about emerging practice issues and current accounting and auditing developments.
This alert provides regulatory updates for entities in the real estate and construction industries. You will also find information on accounting and auditing standards such as:
You will also find information on emerging issues such as:
This publication is an other auditing publication as defined in AU section 150. Other auditing publications have no authoritative status; however, they may help the auditor understand and apply the Statements on Auditing Standards. The auditing guidance in this document has been reviewed by the AICPA Audit and Attest Standards staff and published by the AICPA and is presumed to be appropriate. This document has not been approved, disapproved, or otherwise acted on by a senior technical committee of the AICPA.
Content refers to previous edition
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Content refers to previous edition
Notice to Readers
This Audit Risk Alert is intended to provide auditors of financial statements of construction contractors with an overview of recent economic, industry, technical, regulatory, and professional developments that may affect the audits and other engagements they perform.
This publication is an other auditing publication as defined in AU section 150, Generally Accepted Auditing Standards (AICPA, Professional Standards, vol. 1). Other auditing publications have no authoritative status; however, they may help the auditor understand and apply the Statements on Auditing Standards.
If an auditor applies the auditing guidance included in an other auditing publication, he or she should be satisfied that, in his or her judgment, it is both relevant to the circumstances of the audit and appropriate. The auditing guidance in this document has been reviewed by the AICPA Audit and Attest Standards staff and published by the AICPA and is presumed to be appropriate. This document has not been approved, disapproved, or otherwise acted on by a senior technical committee of the AICPA.
Christopher Cole, CPA CFE
Technical Manager
Accounting and Auditing Publications
Acknowledgments
The AICPA staff is grateful to J. Russell Madray, CPA, who developed and wrote this alert.
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