A review engagement is a form of financial reporting that provides limited assurance to the financial statement readers. A review engagement does involve a fair degree of analysis and financial statement note disclosure, but not as much as an audit. Review engagements are less expensive to perform than an equivalent audit. Again, a review engagement is usually imposed on an organization by lenders or regulatory bodies. Our professionals involved with our audit clients also work on review engagements, and are continually keeping on top of the ever changing standards.
A compilation engagement is sometimes referred to as a “Notice to Reader” statement. Although we look closely at the financial information when we prepare a compilation engagement, we don’t do the same level of testing that we would in an audit or a review engagement. A compilation engagement is the preferred choice of reporting for most businesses and organizations because it is generally the least costly. As long as an audit or review engagement is not imposed on you by a third party, a compilation engagement is a perfectly sound choice for your financial reporting needs.
If you have a specific tax or accounting need, and want to learn more about how we can help, please contact us.