Question: A 46 Negative Assurance in Review Reports One portion of

A. 46 Negative Assurance in Review Reports. One portion of the report on a review services engagement is the following: “ Based on my review, I am not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles [ or another frame-work for financial reporting].” Required: a. Is this paragraph a “ negative assurance” given by the accountants? b. Why is negative assurance generally prohibited in audit reports? c. What justification is there for permitting negative assurance in a review services report on unaudited financial statements and on interim financial information?

View Solution:

Sale on SolutionInn
  • CreatedOctober 27, 2014
  • Files Included
Post your question