GREENSTEIN ROGOFF OLSEN & CO. HAS SUCCESSFUL REVIEW BY PEERS
Fremont, CA, 2/17/06- Groco announced today that it has successfully completed
a rigorous peer review of its accounting and auditing practice. The reviewer concluded
the firm complies with the stringent quality control standards set by the American
Institute of Certified Public Accountants (AICPA), the national professional organization
of CPAs.
Groco participates in the AICPA Peer Review Program, one of the AICPA-approved practice-monitoring
programs. A firm participating in any of these programs must have an independent
review of its accounting and auditing practice every three years. The review was
conducted under the auspices of the CalCPA following standards issued by the AICPA.
The peer review of Groco was performed by a team of licensed, independent CPAs who
qualified under the program's requirements for service as a reviewer. The objective
of the peer review is to determine whether a CPA firm has suitable quality control
policies and procedures and is complying with them.
Its unmodified report indicates Groco measures up to the accounting profession's
high standards of quality and professionalism. If requested, the firm will provide
a copy of the report on the results of the review to all interested parties although
not required to do so.
Groco serves private corporations and high net-worth individuals throughout the
Bay Area, with offices in Fremont and Palo Alto. The firm provides a full range
of accounting, tax, financial and strategic planning services.
The AICPA is the national professional organization of CPAs with more than 330,000
members in public practice industry, government and education. AICPA members are
committed to the highest standards of quality, independence, and ethics in their
practice. In its continuing efforts to serve the public interset, the organization
sets audit standards, upholds the profession's code of conduct, provides continuing
professional education, administers peer review programs, and prepares and grades
the Uniform CPA Examination.
SYSTEM REVIEW FACT SHEET
A Brief History
In 1988, the members of the American Institute of Certified Public Accountants (AICPA)
overwhelmingly approved a proposal that requires AICPA members in public practice
to participate in a practice-monitoring program. With the adoption of this proposal,
the AICPA implemented a peer review program of unprecedented scope in the CPA profession
or any other. Peer review helps assure users of CPA services that their CPA firm
measures up to the profession's high standards of professionalism and is committed
to improving the quality of its practice.
What is Peer Review?
Carried out in conjunction with participating state CPA societies and overseen by
the AICPA, the AICPA Peer Review Program requires CPAs to have a rigorous, outside
review of their accounting and auditing practices once every three years. These
reviews determine whether a firm has suitable quality control policies and procedures
and is complying with them. Specifically, the reviews focus on the following:
- How the firm implements independence requirements
- How personnel are assigned
- Provisions for consultation when technical assistance is required
- How accounting and auditing engagements are performed and supervised
- Hiring practices
- Continuing professional education programs
- Promotion of personnel
- Obtaining and retaining clients
- Internal inspection of the firm's work
The reviewers are licensed CPAs who are selected form among the members of the AICPA
and who have demonstrated they possess current knowledge of applicable professional
standards. During a review, an outside team independently selects a sample of a
firm's engagements and assesses its work on those engagements. The team then reports
back to the firm on its findings, making suggestions where improvements may be necessary,
and provides the outcome of the review to the state CPA society administering the
firm's review. If a review uncovers deficiencies, the state CPA society prescribes
various corrective actions a firm must take or monitoring procedures to ensure a
firm adheres to the profession's standards. In this way, the AICPA consistently
receives updates on the quality of its members' work and the performance of CPA
firms. Firms with AICPA members who issue engagements under the Statements on Auditing
Standards or examinations of prospective financial statements under the Statements
on Standards for Attestation Engagements must have a system review.
How Clients Benefit
Participation in the AICPA Peer Review Program provides CPAs with the opportunity
to learn new or improved ways to run their firms and improve client services. This
may be as simple as identifying possible inefficiencies, or as broad as determining
opportunities to better serve clients. Whatever the case, clients benefit because
CPA services become more appropriate for their needs and responsive to the changing
business environment. What's more, clients can be sure their CPA firm measures up
to the profession's high standards of quality and professionalism.
Peer review also keeps CPAs current on the latest standards and trends in accounting
and auditing. This translates into more knowledgeable advice for those who rely
on CPA services. Peer review offers the assurance your certified public accounting
firm is committed to performing at the very highest level.
About the AICPA
With over 330,000 members, the American Institute of Certified Public Accountants
is the national professional organization of CPAs in public practice, business,
industry, government, and education. AICPA members are committed to the highest
standards of quality, independence and ethics in their practice. In its continuing
effort to serve the public interest, the organization sets audit standards, upholds
the profession's code of ethics, provides continuing professional education, administers
peer review programs, and prepares and grades the Uniform CPA Examination. The AICPA
is the first national professional organization to be ISO9001-certified, in recognition
of its quality management and assurance practices.
FOR IMMEDIATE RELEASE
Media Contact:
Dennis Wolfe
P: 510.797.8661
F: 510.797.1791
dwolfe@groco.com
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