Name: 與財務報表和《證券報告準則》約定的關聯--第四課 (Association with Financial Statements and SSARS Engagements - Lesson 4)
Uploaded: 2021-01-14T06:56:00.000Z
Duration: 3 min 55 s
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It also talks about certain types of requirements. This should sound familiar from when we talked

情態副詞

earlier about auditing. We have an unconditional requirement and a presumptively mandatory.

Presumptively mandatory, it's presumed to be mandatory. That's something you should

do. Unconditional requirement means it is unconditional,

you have to do this which says the word must or is required to, so there's no alternative.

Some of these standards pronouncements we'll talk about is it what we call an unconditional

requirement, you have to do it or is it presumptively mandatory, and something you should do.

Then finally engagement level quality control. The engagement partner is responsible for

the overall quality of the engagement, the direction, the planning, the supervision,

the performance, also the report. If you're giving a report and I say if any, here's why.

As we continue, preparation of financial statements has no report, there's no report. Basically

all you're presenting are the financial statements that are basically gonna be saying that no

assurances provided. It's clearly stated in the statements, no

assurance. In a compilation you're gonna have a report but it's gonna be one paragraph because

they dummied it down. It used to be three paragraphs, add another paragraph, four paragraph

and it looked like it was doing more than it was. You're giving no assurance, let's

make it one paragraph. The review report, four paragraphs and it looks more like an

audit report with management's responsibility, accountant's responsibility, accountant's

conclusion which is the limited assurance and then of course an audit, we've already

talked about in the past. But again, SSARS is covering these things,

that's what today's topic is. Again, understanding that whether or not you're issuing a report

in compliance with the quality control policy and procedures. Client's management and acceptance,

engagement documentation and so on. It says before accepting or continuing engagement,

the accountant should consider the ethical requirements, are they satisfied. Reliable

information is available because if there's no information you can't do the work you need,

whether it's reading the information or understanding the policies and procedures. There's no reason

to doubt the client's integrity because again whose statements are these? Managements. If

they lack integrity, we can't put much reliance on those numbers.

The financial reporting framework selected is acceptable meaning is it again a general

purpose framework, is it a special purpose framework, what framework are we using? Is

it OCBOA, is it US GAAP, IFRS? Compliance with laws and regulations, oops, management

and then this is important. Management is acknowledge responsibility for. These are

the things they are taking responsibility for.

The framework, internal control and we talk about DIM. Remember we talked about DIM, Design

Implementation and Maintenance of Internal Control. I mentioned that because you will

see that in some of the reports. Preventing and detecting fraud, compliance with laws

and regulations, the accuracy and completeness of the information, providing the account

with access to all relevant information. That's again what the general principles are

talking about and again these are the general principles for engagements that we're gonna

perform. As we jump in to the meat of all these different types of engagements, we're

gonna have to learn about them. The key to remember is ARC 60, the general

principles of financial statements, ethics, professional judgment, the conduct and quality

control. They relate to all three of these engagements that we're about to jump into

whether it's preparation of financial statement engagement. Whether it's a compilation engagement

or whether it's a review engagement. So what we're gonna do in a minute is continue on

with that but now get into the meat of what is a preparation engagement versus a compilation