Compilations & Financial Statement Preparation
Financial statement preparations and compilations are limited to presenting your financial information without auditing or reviewing the statements. We will not express an opinion on the financials and they are generally used for the purposes of internal decision making.
More in depth than compilations the review is generally done by making inquiries of company personnel as to the validity of the numbers presented, and no testing of transactions is completed, this service is substantially less in scope than an audit and is often used when outside financing is required for the company, or the owners are not present in the every day business.
The most comprehensive presentation of your financial information, audits require a higher level of assurance, the auditor will issue an opinion on the compliance of the financial statements in accordance with generally accepted accounting principles (GAAP). Audits are often required by banks whom may have made loans to an organization, or governmental authorities in connection with their purpose.