When an independent CPA assists in preparing the financial statements of a publicly held entity, but has not audited or reviewed them, the CPA should issue a disclaimer of opinion. In such situations, the CPA has no responsibility to apply any procedures beyond:
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a. | Determining whether management has elected to omit substantially all required disclosures. | |
b. | Reading the financial statements for obvious material misstatements. | |
c. | Documenting that internal control is not being relied on. | |
d. | Ascertaining whether the financial statements are in conformity with GAAP. |
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