Financial Statements present a financial view of a business. Standard criteria, rules and formats enable the reader to understand a business's assets and obligations on a specific date (The Balance Sheet), as well as its income and expenses incurred over a period of time (The Income Statement). Often, businesses will obtain assistance from a CPA when they are creating financial statements or engage a CPA as a third party to evaluate and form an opinion regarding the Financial Statements.
Review and Compilation Services
Financial Statement Reviews provide a higher level of assurance than Financial Statement Compilations without the cost of a full Audit. Reviewed financial statements satisfy the requirements of many lenders, sureties and customers. CPA Reviewed financial statements provide the reader a reasonable level of confidence that the business has property followed Generally Accepted Accounting Principles when creating the Balance Sheet and Income Statement.
Compiled Financial statements are prepared by the CPA but with fewer checks and procedures than a review. Compiled Financial statements are often meet the requirements of third parties such as lenders, owners and customers.
Review and Compilation services are provided under AICPA's Statement on Standards for Accounting and Review Serivces (SSARS).