Visual description of the difference between audits, reviews, and compilations

Here is a visual picture that illustrates the different comfort levels someone can draw from financial statements that have been audited, reviewed, or compiled by a CPA.

Here is a picture of assurance levels from reports issues by CPAs.


What comfort level is there from an audit, review or compilation report?

This is an explanation of the visual picture I drew in the previous post.  I will try to explain the differences between audits, reviews, and compilations with a minimal amount of the technical words we CPAs usually bring to an issue.  (more…)

Major changes to Review and Compilation Reports from SSARS 19

Remember that SSARS 19 makes a lot of changes to the review and compilation procedures.  In terms of the reports, the entire report is changing – the wording is completely different.

Update – SSARS 19 had been replaced by SSARS 21. All the reports have been revised. You can check out these posts at my other blog, Attestation Update: