A compilation engagement (formerly known as Notice to Reader) is based upon client financial information provided and used primarily for internal purposes and/or tax purposes. Compilation standards have changed for years ending after December 14, 2021. This means a note is now required stating the basis of accounting used in the preparation of the financial information and we need to know if third parties will be using the financial information. Management is responsible for the content of this note and the accompanying financial information. The nature of the compilation engagement report expresses no opinion which means there is a caution on their use by readers.
Some analytical procedures conducted with limited assurance. This means the financial statements are plausible and prepared according to Canadian standards for private or not-for-profit enterprises. The review procedures consist of enquiry, discussion, and analyses. The nature of the review engagement report expresses a negative assurance opinion which means nothing has come to the attention of the accountant to suggest otherwise.
For realtors or lawyers if required.