Course Information

The objective of this course is to inform the reader of the various changes made to the compilation and review standards by the AICPA’s Accounting and Review Services Committee (ARSC), and to address practice issues related to compilation and review engagements. The first section of this course consists of an overview of SSARS No. 21, as amended by SSARS No. 22 through 25, and addresses the three types of engagements that can be performed under the SSARSs: a preparation of financial statements engagement, a compilation engagement, and a review engagement. The remainder of the course consists of practice issues in compilation and review engagements. Topics include a discussion of an accountant’s responsibility for fraud, internal control and going concern, representation letters for review engagements, personal financial statements, tax-basis financial statements, legends on financial statements, accountant’s liability in compilation and review engagements, saving time in engagements, ethics and independence i

1. Identify some of the changes in SSARS No. 21, as amended, that are and are not carried over from auditing standards 2. Identify engagement types that are and are not authorized under SSARS No. 21 3. Recall whether the preparation of financial statements standard is an attest or nonattest service 4. Recognize the term that is assigned to engagements performed on the cash, tax and regulatory bases of accounting 5. Recognize a criterion for an accountant to perform a preparation engagement 6. Recall whether a preparation engagement under AR-C 70 is subject to peer review 7. Identify whether a report is required in a preparation of financial statements engagement under AR-C 70 8. Recognize what the reporting requirements are, if any, when a “no assurance” legend is omitted from prepared financial statements under the AR-C 70 standards 9. Recognize an acceptable location in which to place the description of a special purpose framework in a preparation of financial statements engagement 10. Identify where to dis