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One of the first steps that should be performed for a review of a nonpublic entity's financial ...

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One of the first steps that should be performed for a review of a nonpublic entity's financial ...

One of the first steps that should be performed for a review of a nonpublic entity's financial statements is to

▸ read the financial statements.

▸ obtain knowledge of the accounting principles and practices of the client's industry.

▸ inquire whether management has omitted substantially all of the disclosures required by applicable accounting standards.

▸ apply analytical procedures to provide limited assurance that no material modifications should be made to the financial statements.

Textbook

Auditing and Assurance Services

Edition: 17^th

Authors: Arens, Elder, Beasley, Hogan

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