Attestation Update – A&A for CPAs

Technical stuff for CPAs providing attestation services

Thumbnail description of compilation and review reports

with one comment

I listened to a webcast from Michael Glynn, CPA, Senior Technical Manager at the AICPA.  He touched on a number of post-implementation issues from SSARS 19.  His presentation is a variation of the article he wrote for the Cal Society magazine, which I discussed here and here. I will condense and expand on some of his points.

Thumbnail view of compilation report

Report is now 3 paragraphs instead of 2.

  • First paragraph – introduction – Points out this report is neither an audit or review so there’s no assurance from the report.
  • Second – management’s responsibility – Management is responsible for the report and internal control.
  • Third – accountant’s responsibility and objective of compilation –  Interestingly, there is no conclusion or even any general comment on the financial statements.

Thumbnail view of review report

Report is now 4 paragraphs instead of 3.

  • First – introduction – Basic approach is inquiry and analytical review. This is less than an audit, so there’s no opinion on the financial statements.
  • Second – management’s responsibility – They are responsible for internal control and the financial statements.
  • Third – accountant’s responsibility – Our job is to get limited assurance there are no material modifications needed to the financial statements.
  • Fourth – conclusion – Accountant is not aware of any material modifications to the financial statements.

Written by Jim Ulvog

September 1, 2011, 10:21 am at 10:21 am

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  1. […] Attestation Update – A&A for CPAs HomeAbout Ulvog CPASSARS #19 documentation requirements « Thumbnail description of compilation and review reports […]


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