Auditing, Attestation, & Assurance
Auditing, Attestation, and Assurance
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Auditing, Attestation, and Assurance What is Auditing, Attestation and Assurance? Auditing relates to the analysis of the financial statements, attestation relates to the financial information beyond the financial statements, and assurance relates to improvement of the reliability of the financial information within the financial statements. This paper will give examples of each type of service, who might request these services, the standards that apply to each service, and who establishes those standards. The paper will also provide a comparison and contrast point of view for all three services.
Types of Service Auditing services are important to most businesses. There are a wide variety of auditing services offered. One of the most recognized auditing service is the Internal Revenue Service. They conduct audits on tax and financial information to determine if any fraudulent information was provided. Another type of auditing service are public accounting firms or certified public accountants (CPA). These are external auditors and conduct audits for a variety of reasons. These reasons can be to assure stakeholders the financial information is correct, or they are operating under a set of guidelines set forth, (What Are The Different Types Of Audit Services?, n.d.). Attestation services according to dictionary.com is, “a consulting service in which a CPA expresses a conclusion about the reliability of a written statement that is the responsibility of someone else, “(Attestation Service", n.d. para. 1). These services can be provided for a variety of reasons. One common reason is to provide a conclusion on a companies internal controls. A company may have concerns in certain areas like inventory, and will request an attestation to ensure the internal controls in place are effective or if the need improvement. Most companies will request this service to ensure they are in compliance with
Name
Class
Date
Instructor
Auditing, Attestation, and Assurance What is Auditing, Attestation and Assurance? Auditing relates to the analysis of the financial statements, attestation relates to the financial information beyond the financial statements, and assurance relates to improvement of the reliability of the financial information within the financial statements. This paper will give examples of each type of service, who might request these services, the standards that apply to each service, and who establishes those standards. The paper will also provide a comparison and contrast point of view for all three services.
Types of Service Auditing services are important to most businesses. There are a wide variety of auditing services offered. One of the most recognized auditing service is the Internal Revenue Service. They conduct audits on tax and financial information to determine if any fraudulent information was provided. Another type of auditing service are public accounting firms or certified public accountants (CPA). These are external auditors and conduct audits for a variety of reasons. These reasons can be to assure stakeholders the financial information is correct, or they are operating under a set of guidelines set forth, (What Are The Different Types Of Audit Services?, n.d.). Attestation services according to dictionary.com is, “a consulting service in which a CPA expresses a conclusion about the reliability of a written statement that is the responsibility of someone else, “(Attestation Service", n.d. para. 1). These services can be provided for a variety of reasons. One common reason is to provide a conclusion on a companies internal controls. A company may have concerns in certain areas like inventory, and will request an attestation to ensure the internal controls in place are effective or if the need improvement. Most companies will request this service to ensure they are in compliance with
References: Assurance services.(n.d.) Retrieved July 31, 2012 from http://www.investopedia.com/terms/a/assurance-services.asp#ixzz22apDUsLd Attestation services.(n.d.) Retrieved July 31, 2012 from http://dictionary.reference.com/browse/attestation+service Boynton, W. C., & Johnson, R. N. (2006). Modern auditing: Assurance services and the integrity of financial reporting PCAOB Website. (2012). Statements on Standards for Attestation Engagements. Retrieved August 5, 2012 from http://pcaobus.org/Standards/Attestation/Pages/ATIntro.aspx Public Company Accounting Oversight Board. (2012). PCAOB Oversees. Retrieved from http://pcaobus.org/Pages/default.aspx