REVIEW & COMPILATION
Almost every organization, whether its a privately held business, a publicly
owned corporation, or a nonprofit organization, must prepare reports on its
financial performance. These reports help owners and managers make operating
decisions, enable creditors to evaluate loan applications, and provide
individuals with information to make investment decisions. We recognized that
different entities have different accounting needs. We help you meet your
compliance obligations with as little disruption as possible.
If an audit is not required, a review of your financial statements, with
considerably less scope than an audit, provides limited assurance at a
significantly lower cost. A review may be adequate for entities that report
their financial positions to third parties, such as creditors or regulatory
agencies. Reviewed financial statements may also be useful to business owners
who are not actively involved in managing their companies.
A compilation provides no level of assurance that the financial statements are
in accordance with GAAP. A compilation presents information that is supplied by
management and makes sure the financial statements are free from obvious error.
During a compilation, the data is simply arranged into conventional financial
statement form; no probing is conducted beneath the surface. Compilations are
most often prepared for small, privately held entities that need help in
preparing their financial statements and do not need a high level of assurance.