Review Reports

Question 1

Under attestation review reports, is there a standard format?

Answer 1

NO

Question 2

What should be included in the review report? (IMPORTANT TO BE FAMILIAR WITH SHOULD BE INCLUDED)

Answer 2

Title- Include the word independent
Address- appropriate person
Identify applicable subject matter or assertion
Criteria for evaluation of subject matter
Identify the responsibilities of the practitioner and responsible party
Include a statement that the engagement was performed in accordance with AICPA
Objective was to gain limited assurance
Review is less in scope than an examination
Express a belief that there is reasonable basis for the inclusion
Any inherent limitations
Any material modifications that are material (negative insurance)

Question 3

Can you have a qualified conclusion on a review?

Answer 3

YES

“Material, but not pervasive”
Conclusion “EXCEPT FOR THE EFFECTS OF”

Question 4

If the effect is material and pervasive, what should the auditor do?

Answer 4

Withdrawal