Certification of Financial Statements
Audit of Financial Statements
This type of engagement offers a superior – although not absolute – assurance that the financial statements established by managements are in conformity with generally accepted accounting principles and free of any major errors.
The risk entailed by the inadequate conclusion of a financial year is significantly reduced by such procedures as examination, observation, information-gathering, request for confirmation, calculation, analytical procedures and discussion.
Review of Financial Statements
In this engagement, the auditor provides reasonable assurance that the financial statements established by management, in conformity with generally accepted accounting principles, are free of any major errors.
The risk entailed by the inadequate conclusion of a financial year is significantly reduced by procedures which are generally limited to information gathering, analytical processes, and discussion. When collected, the evidence allows the auditor to conclude that the elements under consideration are plausible under the circumstances.