Financial statement reviews
A review engagement is performed to provide limited assurance, primarily through inquiry and analytical procedures over the financial information produced by an entity. A review is substantially less in scope than an audit which is conducted in accordance with International Standards on Auditing, and consequently does not enable a reviewer to obtain assurance that all significant matters could be identified.
What are financial statement reviews and why are they important?
A review engagement provides a moderate level of assurance that the information subject to review is free of material misstatement. Procedures for conducting a review of financial statements are generally limited to analytical procedures and inquiry of management, as well as obtaining management representations of the completeness of the information provided.
Financial statements reviews, although less in scope than an audit, are nonetheless important, as it provide some level of assurance that the financial statements are free of material misstatements.
Financial statements reviews differ from financial statements audits as they are limited to scrutinising analytical procedures and assessing of management, and therefore provide limited assurance. For this reason, the review can only determine the plausibility of the financial information presented and whether they are in conformity with the applicable financial reporting framework (such as GAAP or IFRS).
Why Grant Thornton?
At Grant Thornton we look beyond simply complying with all relevant regulatory requirements, but more importantly, we do our best to ensure that our team can provide you with quality assurance that delivers real value and support investor confidence.