What sort of assurance is provided in a review engagement?
Correct answer: A. Negative assurance
- A. Negative assurance
- B. Positive assurance
- C. High level of assurance
- D. No assurance
Explanation
A review engagement provides limited assurance, traditionally expressed through negative assurance such as stating that nothing has come to the practitioner's attention. It does not provide the positive or high assurance associated with an audit.
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About Auditing
Auditing examines accounting records and financial statements to determine whether they present a reliable and fairly stated position. The subject covers audit objectives, internal controls, audit evidence, materiality, vouching, verification, working papers, auditor independence, audit reports, and the distinction between an audit and accounting or investigation.
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