1. The terms attestation engagement and assurance engagement refer to the same concept; the difference in terminology occurs because the first term is used by the IAASB and the second term is used by the AICPA.
2. Assurance engagement risk is the risk that the practitioner expresses an inappropriate conclusion when the subject matter information is materially misstated.
3. A review engagement is a service, the objective of which is to assist management in presenting financial information in the form of financial statements without undertaking to obtain or provide any assurance that there are no material modifications that should be made to the financial statements in order for the statements to be in conformity with the applicable financial reporting framework.
4. In a review, a practitioner does not obtain assurance that he or she will become aware of all significant matters that would be investigated in an audit.
5. The auditor should perform review procedures (a) on the quarterly information contained in the annual report to shareholders and (b) on the quarterly information issued at the end of each of the first three quarters of the fiscal year when engaged to do so.
6. The SEC requires publicly owned companies to file quarterly financial information with the SEC on Form 10-Q within 60-75 days (depending on company size) after the end of each of the first three quarters of the fiscal year.
7. Special-purpose financial statements are those prepared in a compilation engagement.

  • CreatedSeptember 22, 2014
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