[thisismyname]

Hi all, I’m having trouble with this following question:

An auditor provides positive assurance in all of the following reports except:
1) A report on other comprehensive basis of accounting financial statements
2) A report on compliance with contractual or regulatory requirements related to audited financial statements
3) A report on a specified account in a financial statement
4) A report on a financial presentation to comply with contractual agreements or regulatory requirements

Choice “2” is correct. Negative assurance is provided on compliance with contractual or regulatory requirements related to audited financial statements.

The answer key doesn’t tell me which standard (SSAE vs SSARS) or which types of service these fall under (review, engagement, compilation, etc) so I’m still confused on why the answer is 2. Can anyone shed some light on why #2 is correct but 1,3 & 4 aren’t? Thank you!

[Shark]

Choice 2 falls under SSAR and is a review engagement. As you probably already know, reviews only provide limited (negative assurance).

[thisismyname]

Thanks, where would #s 1,3 and 4 fall in the service type and standards? I'm having trouble categorizing them because the description of the report seems so broad. For example, #3 a ‘report on a specified account in a financial statement' seems like it can be a preparation, compilation, review, examination OR agreed upon procedure?

[Author]

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