Page 185 - CA Final Audit Titanium Full Book. (With Cover Pages)

CA Ravi Taori
• The practitioner shall communicate with management or those charged with governance, as appropriate,
during the compilation engagement.
Timely Basis Communication:
• This communication should occur on a timely basis throughout the course of the engagement.
Significant Matters:
• The practitioner should convey all matters concerning the compilation that, in their professional judgment,
are significant enough to warrant the attention of management or those charged with governance.

(CNO SRS 4410.080) The Practitioner’s Report
Purpose:
An important purpose of the practitioner’s report is to clearly communicate the nature of the compilation
engagement, and the practitioner’s role and responsibilities in the engagement.
Not a Vehicle for Opinion:
• The practitioner’s report does not express an opinion or conclusion on the financial information in any form.
Elements of Report
The practitioner’s report issued for the compilation engagement shall be in writing, and shall include the
following elements: -
1. Title:
The report title.
2. Addressee:
• addressee(s), as required by the terms of the engagement.
3A. Compilation Engagement:
• It must include a statement that the practitioner has compiled the financial information based on information
provided by management.
3B. Identification of Financial Information:
• The report must identify the financial information, including the title of each element if more than one, and
the date or period to which it relates.
4. Description of Management’s Responsibilities:
• The report needs a description of the responsibilities of management or those charged with governance in
relation to the compilation engagement and the financial information.
4A. Identification of Reporting Framework:
• It should identify the applicable financial reporting framework and describe or refer to any special purpose
financial reporting framework used.
5A. Practitioner’s Responsibilities Description:
• The report should describe the practitioner’s responsibilities in compiling the financial information, stating
compliance with this SRS and relevant ethical requirements.
5B. Compliance with SRS:
• It needs a description of what a compilation engagement entails according to this SRS.
5C. Not an assurance Engagement:
• Explanations should clarify that since a compilation is not an assurance engagement, the practitioner does not
verify the accuracy or completeness of the information provided by management and does not express an audit
opinion or a review conclusion on the financial information.
6. Special Purpose Framework Explanation:
• If a special purpose framework is used, an explanatory paragraph should describe the purpose for which the
financial information is prepared and draw attention to the fact that the information may not be suitable for
other purposes.
7. Date:

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