Who may require?
Banks, insurance companies, and the government may require from businesses to submit independent auditors' reports on their financial statements.
It is important for businesses to understand what kind of report is needed: audit, review, or compilation. Feel free to contact us if you need help in figuring out your agency’s requirements.
What are the differences among the reports?
All three reports provide different levels of assurance on accuracy of the financial statements. The audit is the highest (and most expensive), followed by reviews, and then compilations.
What is the process?
The process for all reports is kind of similar: generally, we request a trial balance from the client and make inquiries regarding accounts and accounting system. At times, looking at some individual financial transactions may be necessary. We can create financial statements from raw data (statements, invoices, bills, etc.) in the compilation engagement.
We use the gathered data to issue the independent auditors’/accountants’ report, financial statements, and footnotes to financial statements discussing certain accounts or making required management disclosures.
Please refer to our Audit Preparation services if you need help to prepare for the audits or reviews done by other firms.
NOTE: BY LAW, WE ARE ALLOWED EITHER TO PREPARE YOU FOR THE AUDIT OR TO PERFORM THE ACTUAL AUDIT (BUT NOT BOTH).
Please feel free to contact us for more information about the Audits, Reviews, and Compilations.
