Advising your clients about environmental accounting issues

Abstract

Certified public accountants (CPAs) must advise their clients about potential environmental problems and solutions. Only by doing this can the long‐term survival and profitability of many clients be ensured. Reports on a survey of 940 CPA firms which identified their inconsistent attitudes to timing of disclosure, measurement issues and income statement presentation. Inconsistent practices are mainly owing to lack of authoritative support in the area. Recommends future actions and suggests the CPA should be aware of three critical issues that can adversely affect clients′ operations: valuation of the business, acquisition and divestiture and access to capital. Discusses the CPA′s role as external adviser.

Citation

Steadman, M.E., Green, R.F. and Zimmerer, T.W. (1995), "Advising your clients about environmental accounting issues", Managerial Auditing Journal, Vol. 10 No. 8, pp. 52-55. https://doi.org/10.1108/02686909510093624