A review engagement provides limited assurance that your financial statements are free of material misstatement. It is performed under Canadian Standard on Review Engagements (CSRE) 2400 and is often accepted by lenders and stakeholders when a full audit is not required.
What a review involves
- Inquiry of management and analytical procedures on the financial statements
- Evaluation of the evidence obtained, without the detailed testing of an audit
- A review engagement report stating whether anything has come to our attention that the statements are not presented fairly under ASPE, ASNPO or IFRS
Review vs. audit vs. compilation
| Compilation | Review | Audit | |
|---|---|---|---|
| Level of assurance | None | Limited | Reasonable |
| Main procedures | Compile from your information | Inquiry and analysis | Testing, confirmation, controls |
| Typical cost | Lowest | Moderate | Highest |
Who it suits
Owner-managed companies with bank financing, franchise or lease requirements, and not-for-profits whose funders accept a review instead of an audit.
Contact us to discuss whether a review meets your stakeholders' needs.