Activity Review
North Carolina State
Board of Certified Public
Accountant Examiners
1101 Oberlin Rd., Ste. 104 • PO Box 12827 • Raleigh, NC 27605 • 919-733-4222 • www.nccpaboard.gov • No. 06-2013
J. Michael Barham, CPA, Retires from Board
When Mike Barham left the Board office
on May 31, it w'as not only the end of
his employment w'ith the Board, it w'as
also the end of an accounting career that
began nearly 40 years ago.
Just days after graduating from
UNC-Wilmington, Barham joined
the Office of the State Auditor and
continued working w'ith various State
agencies until he retired from his po¬
sition as Deputy State Treasurer on
December 31, 2003.
It w'as a short retirement; he began
w'orking as Deputy Director of the
Board on January 2, 2004.
Atthe Board's May 23, meeting, the
members of the Board thanked Barham
for his sendee and presented him wdth
a framed collage that included a copy
of the Norman Rockw'ell print, "Escape
to Adventure," (an accountant w'orking
at his desk w'hile dreaming of leaving
his w'ork behind) and the CPA stamp
issued by the US Postal Sendee in 1987
to honor the accounting profession.
" We wdllcertainly miss you, Mike,"
said Jose Rodriguez, CPA, President of
the Board. "You have been a great asset
to this Board; w'e thank you for your
hard w'ork and dedication."
Barhamexpressed his appreciation
for the Board's support and leader¬
ship and thanked the Board staff for
its commitment to making the Board
one of the best boards of accountancy
in the country.
"These years wdth the Board have
been some of the best of my career,"
Barham said. "I have enjoyed working
with you— I am thankful to have spent
this time wdth you."
Robert Brooks, the Board's Execu¬
tive Director, said, "Mike has done so
much for this Board; w'e w'ere lucky to
have him as long as w'e did."
"He did an outstanding job and
it has been a pleasure w'orking wdth
him," said Brooks. "1 am honored to
have Mike as a friend, and 1 wdsh him
the best in his retirement."
Barham said he plans to spend his
retirement at the beach so he can spend
time wdth his family, w'ork on his golf
game, and go fishing.
In early May, the NCACPA pre¬
sented Barham wdth its Outstanding
Member in Government aw'ard w'hich
honors outstanding service and leader¬
ship wdthin governmental accounting.
In This Issue
2013 Board Meetings . 2
Board Office Closed . 7
Certificates Issued . 7
Davenport Nominated . 7
Disciplinary Actions . 2
Independent Auditor's Report . 4
Reclassifications . 3
Changes to the Independent Auditor’s Report
The following information was provided to the Board by Marci S. Thomas, MHA,
CPA, CGMA. Send questions about the independent auditor's report to the Board's
Deputy Director, David R. Nance, by email at dnance@nccpaboard.gov.
As most auditors are already aware,
the AlCPA's Clarity standards are ef¬
fective for periods ending on or after
December 15, 2012. This means that
December 31 clients are the first to
see the new' auditor's report.
The new' report contains captions
tocallcertaincomponentstotheuser's
attention and also contains w'ording
that w'as modified from the previous
auditor's report. Although this may
seem like a very simple change, there
is alw'ays the risk that not all firm
members are aware of the changes
and could simply update the prior
year format with new dates.
The more likely risk is that firm
members are not aware of all of the
possible components that could be
modified or added to the auditor's re-
portdepending on the circumstances.
The Independent Auditor's Re¬
port not only provides the client
w'ith an opinion (or disclaimer) on
the financial statements, but also
provides clients and other users with
very important information related
to the audit. Auditors cannot afford
to make mistakes on the one product
they are required to deliver.
A guide to the most frequent
modifications or additions that may
be necessary, depending on the cir¬
cumstances, along with the standard
auditor's report with place holders
for the additions and modifications,
is showm on pages 4 and 5.
