What is Review engagement?
In short
In a review of financial statements, the accountant obtains limited assurance, mainly through inquiry and analytical procedures, that no material modifications are needed for the statements to conform with the applicable framework.
Key takeaways
- Independence is required.
- It doesn't involve understanding or testing internal control, confirmations, inventory observation or lawyers' letters.
- The accountant obtains a management representation letter.
Where it's tested
AUD: Reviews, Compilations & Agreed-Upon Procedures — study notes, a five-minute revision sheet and practice questions.
Practise: 3 questions
Question 1 of 3 · 0 answered
Which procedures form the primary basis of a review of financial statements under SSARS?