CHARACTERISTICS OF MAS
SCOPE OF MAS
MAS are usually related to the services rendered by CPAs in the areas of auditing,
tax, and accounting, and may involve activities such as:
1. Cost accounting
c. Variance analysis
2. Financial management
4. Industrial Engineering
5. Marketing
c. Market forcasting
The services listed above are not necessarily exhaustive nor complete. The
practitioner may offer other services not mentioned above depending on the
practitioners competence, experience, technical ability, and professional
integrity to meet or deliver such other services.
1. Usual Services:
k. Presenting and analyzing the pros and cons of various retirement and
profit-sharing plans
- They are already familiar with the client and his business and enjoy the
clients confidence
In case the client requests the consultant to proceed, the latter may also be
involved in:
3 BROAD STAGES
All CPAs engaged in MAS practice should observe a set of MAS Practice
Standards, which are classified into general and technical standards. These are
as follows:
GENERAL STANDARDS
1. Professional Competence
The MAS practitioner shall exercise due professional care when performing
an engagement
The MAS Practitioner shall obtain sufficient relevant data to complete the
engagement in accordance with the understanding with the client and to
provide a reasonable basis for making conclusions and formulating
recommendations in relation to the engagement
5. Forecast
The MAS practitioner shall not permit his name to be used in connection
with any forecast of future transactions in a manner that may lead to the
belief that the practitioner vouches for the achievability of the forecast
TECHNICAL STANDARDS
The practitioner should not assume the role of management or take any
position which may impair the practitioners objectivity in performing the
engagement. The practitioner should maintain his independence to enable
him to render his professional judgement and opinions with objectivity. His
main role is that of an adviser.
3. Client benefit
4. Communication of results
These stages constitute the specific activities involved in MAS engagement cycle
which in general terms are the following:
2. Engagement planning
4. Engagement conclusion