Audit 2 - Other Reports

Question 1

Elements of Quality Control

HELP ME

Answer 1

Human resources
Engagement/client acceptance & continuance
Leadership responsibilities
Performance of the engagement

Monitoring
Ethical requirements

Question 2

Understanding of a Client’s Business for a Compilation

STAFF

Answer 2

Staff qualifications
Transaction types & frequency
Accounting basis used to prepare the F/S
Form of the accounting records
Financial statements' form and content

Question 3

Compilation Report

CAR MR ARSOM

Answer 3

Intro Paragraph
Compiled (statement that F/S have been)
Audited or
Reviewed (statement that accountant hasn’t)

Management’s
Responsibility paragraph

Accountant's
Responsibility paragraph
SSARS issued by AICPA (conducted in accordance)
Objective of a compilation is to
Assist management

Question 4

Performace Requirements Applicable to a Review

U LIAR CPA

Answer 4

Understanding w/ client established

Learn/obtain knowledge of client’s business
Inquiries addressed to appropriate individuals
Analytical procedures performed
Review - other procedures performed

Client representation letter obtained
Professional judgment used
Accountant should communicate

Question 5

Accountant’s Report on a Review Engagement

AM I SAD MR FIRSALA

Answer 5

Intro:
Analytical procedures applied to
Management’s financial data &
Inquiries made of comp. management

Substantially less in scope than an
Audit and accountant
Does not express an opinion

Management's
Responsibility
Financial statements
Internal Control
Responsibility (Accountant's)

SSARS issued by
AICPA
Limited
Assurance

Question 6

Attestation Standards

TIPPY PASSER

Answer 6

General:
Training & proficiency
Independence
Performance/due professional care
Professional, adequate knowledge of subject
Your belief that subject is capable of evaluation

Fieldwork & Reporting:
Planning & supervision
Appropriate, sufficient evidence
Subject matter (identify)
Significant reservations (disclose)
Express conclusions
Restrict use to specified parties

Question 7

Agreed-Upon Procedures Engagements

I AM SURE

Answer 7

Independence of the practitioner

Agreement of the Parties
Measurability & consistency

Sufficiency of the procedures
Use of the report is restricted
Responsibility for subject matter
Engagements to perform agreed upon procedures