A CPA's report on agreed-upon procedures related to management's assertion about an entity's compliance with specified requirements should contain
A) A statement of limitations on the use of the report.
B) An opinion about whether management's assertion is fairly stated.
C) Negative assurance that control risk has not been assessed.
D) An acknowledgement of responsibility for the sufficiency of the procedures.

Question

Quizplus · Accepted Answer

A CPA's report on agreed-upon procedures related to management's assertion about an entity's compliance with specified requirements should contain a statement of limitations on the use of the report. This statement informs the user that the agreed-upon procedures engagement was performed in accordance with specific agreed-upon procedures, and does not provide an opinion or assurance on the subject matter. It is important for the user to understand the limitations of the report and the nature of the engagement. The other choices do not accurately reflect what should be included in this type of report.

A CPA's Report on Agreed-Upon Procedures Related to Management's Assertion