AICPA Audit position statement.

• Position: AICPA News

The AICPA's Accounting Standards Executive Committee has issued Statement of Position 07-1, Clarification of the Scope of the Audit and Accounting Guide Investment Companies and Accounting by Parent Companies and Equity Method Investors for Investments in Investment Companies, effective for fiscal years beginning on or after Dec.15, 2007, with earlier application encouraged.

The SOP provides guidance for determining whether an entity is within the scope of the AICPA Audit and Accounting Guide--Investment Companies.

For those entities that are investment companies under the SOP, it also addresses whether the specialized...