Audit​

Level of Assurance

Procedure :Involves detailed examination of financial records and internal controls.

Objective :To express an opinion on whether the financial statements are presented fairly, in all material respects, in conformity with US GAAP.

Report :The auditor’s report provides an opinion on the fairness and accuracy of the financial statements.

Key Procedures

Risk assessment

Internal control testing

Substantive procedures (e.g., tests of details, analytical procedures)

Obtaining sufficient appropriate audit evidence

Review

Level of Assurance

Procedure :Involves inquiries of management and analytical procedures.

Objective :To express limited assurance that the financial statements are free from material misstatement.

Report :The accountant’s review report states whether any material modifications should be made to the financial statements for them to be in conformity with US GAAP.

Key Procedures

Inquiries of management

Analytical procedures

Review of accounting principles applied

Compilation

Level of Assurance

Procedure :Involves assembling financial information provided by management.

Objective :To present financial information in a form that is suitable for the intended users.

Report :The accountant’s compilation report states that the financial statements were compiled without audit or review.

Key Procedures

Preparing financial statements in accordance with US GAAP

Applying accounting principles consistently

Disclosing any departures from US GAAP