Accountancy Profession Adding Value With XBRL

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Accountancy Profession Adding Value With XBRL

• Barry Melancon, CPA
• President and CEO
• American Institute of Certified Public Accountants

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The AICPA

• The Professional organization for CPAs, with more
  than 350,000 CPAs in both corporate management /
  finance and CPA firms
• Mission
• Provide CPAs with the resources, information,
  and leadership that enable them to provide
  valuable services in the highest professional
  manner to benefit the public as well as employers
  and clients

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The Accountancy Profession is committed to

• Core values of
• Integrity
• Objectivity
• Competence
• Proactively protecting the public interest
• An efficient and effective global capital market
  through better information

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AICPA and the CPA Professions Commitment to XBRL

• Vision and leadership
• Invested in and supported XBRL
• Invested in the US Taxonomies crucial to US
  market adoption
• Support XBRL International with people and
  infrastructure
• Recognized from the beginning the need for
  interdisciplinary collaboration

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The business reporting supply-chain
External Financial Reporting
Business Operations
Internal Financial Reporting
Investment, Lending, and Regulation
Processes
Collaboration is KEY!!!
XBRL
XBRL
XBRL
Investors
Financial Publishers and Data Aggregators
Companies
Participants
Auditors
Trading Partners
Regulators
Management Accountants
Software Vendors
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Why XBRL?

• Fundamental transformation in the way business
  reporting information will be exchanged,
  aggregated, and analyzed
• Improve communication with investors
• More efficient data aggregation
• Improved analysis
• More efficient creation of business reports
• Better markets through better information
• A critical enabler to the Enhanced Business
  Reporting Consortium

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Barcode has done for product distribution
Efficiency
Savings
Quality
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what XBRL is doing for business reporting
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Who Benefits?
The business reporting supply-chain
External Financial Reporting
Business Operations
Internal Financial Reporting
Investment, Lending, and Regulation
Processes
XBRL
XBRL
XBRL
Investors
Financial Publishers and Data Aggregators
Companies
Participants
Auditors
Trading Partners
Regulators
Management Accountants
Software Vendors
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CPAs Role in XBRL
The business reporting supply-chain
External Financial Reporting
Business Operations
Internal Financial Reporting
Investment, Lending, and Regulation
Processes
XBRL
XBRL
XBRL
Investors
Financial Publishers and Data Aggregators
Companies
Participants
Auditors
Trading Partners
Regulators
Management Accountants
Software Vendors
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Major AICPA commitments to Enhancing Business
Reporting

• Improving audit quality
• Stronger internal controls and effective
  corporate governance
• Detecting and preventing fraud
• Leading the way towards improved business
  reporting

XBRL can play a key role in each of these efforts
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Better information leads to better management
better governance better markets
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Call to Action

• Now is the time for CPAs to act! The tools are
  ready!
• Participate in the SEC Voluntary Filing Program
• Take XBRL to the private company sector. XBRL is
  not just for public company reporting.

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Looking into the Crystal Ball

• SEC voluntary filing program takes off
• Companies and banks start to talk in XBRL
• CPAs opine on XBRL documents
• Better and more analysis
• Business sectors adopt lending, tax, etc.
• EBR XBRL value of financial information grows
• Enhancing business reporting in ways we cant yet
  imagine

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The World Counts on
The Global Accounting Profession
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Accountancy Profession Adding Value With XBRL

• Barry Melancon, CPA
• President and CEO
• American Institute of Certified Public Accountants