Accountancy before the fall: The AICPA vision project and related professional enterprises

The Accounting Profession's Engagement with Accounting Standards: Conceptualizing Accounting Complexity through Big 4 Comment Letters

“…10 Table II shows the count of the number of FASB proposals by year and the breakdown of comment letters. Consistent with prior research, on a relative basis, the Big 4 submit comment letters much more frequently than nonBig 4 firms and professional associations that may not have time or resources to devote to the standard-setting process (Fogarty et al 2006). …”

“…A significant proportion of small firms opt for lower assurance engagements in response to the increasing complexity in standards (Durocher et al 2016). Such firms might not have the resources to devote to participation in the standard-setting process (Fogarty, Radcliffe, and Campbell 2006) even though their clients may be the most affected by complexity in accounting standards (Evans et al 2005). As such, while small accounting firms represent the vast majority of practicing accountants (Ramirez 2009), it seems they may not play a significant role in the way accounting complexity develops.…”

The Role of Trust, Relationships and Professional Ethics in the Supply of External Business Advice by Accountants to SMEs

“…Indeed, accountants are the most frequently used source of external advice, ahead of banks solicitors and public sector providers (Bennett and Robson, 1999;Carey et al, 2005;BIS, 2009). Research shows that external accountants have expanded their service offerings, to include a broad range of business advisory services, supporting a range of information needs serving both external and internal stakeholders (Fogarty et al 2006;Greenwood et al 2002). The few studies that have explored the determinants of advisory services in the SME environment find only a limited number of antecedent factors associated with business advice (e.g., competence of accountant, size of firm, industry, and firm growth) (see for example Carey and Tanewski 2009;Gooderham et al 2004;Bennett and Robson, 1999;Kirby et al 1998).…”

“…While maintaining its traditional focus, the accounting profession has increasingly represented its members as business advisers, with the view of "adding value" to the client (Fogarty et al 2006;Berry et al 2006;Greenwood et al 2002). This has been bolstered by the fact that the "bread and butter" of many small accountancy practices has diminished through more extensive use of computer technology and the growth in audit exemptions (particularly in the UK) which has resulted in accountants actively seeking to widen their portfolio of services (Ram and Carter, 2001).…”

“…Consequently accountants have developed multi-disciplinary practices offering a more diverse range of skills and services to provide support to organizations that are increasingly demanding services and products more tailored to their needs with speed, quality and personalized attention (Fogarty et al 2006;Greenwood et al 2002;Parker 2001).…”