Financial Statements

Notes to the summarized financial statements

For the year ended March 31, 2016 (all amounts in thousands of dollars)

 

Basis of preparation

These summarized financial statements are derived from the complete annual audited financial statements of Chartered Professional Accountants of Ontario for the year ended March 31, 2016, which were prepared in accordance with Canadian accounting standards for non-for-profit organizations.

A copy of the complete audited financial statements is kept on file at Chartered Professional Accountants of Ontario and can be provided upon request.

The set of criteria applied by management in preparing these financial statements is outlined in the paragraph below.

The figures presented in these summarized financial statements agree with or can be recalculated from the figures presented in the complete audited financial statements. Management believes that the summarized financial statements contain the necessary information and are at an appropriate level of aggregation so as not to be misleading to the users.

 

Unification of the profession

 

Chartered Professional Accountants of Ontario (“CPA Ontario”) is the registered business name of The Institute of Chartered Accountants of Ontario which was incorporated under An Act to Incorporate The Institute of Chartered Accountants of Ontario by the Legislative Assembly of the Province of Ontario in 1883, was continued in 1956 under the Chartered Accountants Act, 1956 and in 2010 under the Chartered Accountants Act, 2010 (“CPA Ontario (ICAO)”).

On April 1, 2014, CPA Ontario (ICAO) entered into a unification agreement with the Certified Management Accountants of Ontario (“CMA Ontario”) to unify the operations of CPA Ontario and CMA Ontario (“the first unification agreement”) with an effective date of April 1, 2014.

On June 23, 2014, CPA Ontario and The Certified General Accountants Association of Ontario (“CGA Ontario”) entered into a unification agreement to unify the operations of CPA Ontario and CGA Ontario (“the second unification agreement”). The second unification agreement had an effective date of July 2, 2014. Collectively, the unified entities operate under the registered business name of CPA Ontario.

These financial statements reflect the operations of CPA Ontario for the year ended March 31, 2016. The comparative period reflects CPA Ontario’s results for the period from July 2, 2014 to March 31, 2015.

As part of the unification process, CPA Ontario took steps to streamline and integrate the services that it provides to its members and students. During the year, integration costs of $14,386 (2015 - $13,863) were incurred to integrate the operations of the legacy entities. This expense includes costs for severances of $1,884 (2015 - $7,935), as well as consulting services and information technology that have been incurred to optimize the service that CPA Ontario provides to its members and students

 

Comparative figures

Certain figures of the statement of operations for 2015 have been reclassified to reflect the presentation applied to 2016.