The review of financial statements is a service that is not similar to the audit of financial statements. The review is less detailed and is aimed at disclosure of the evidence of non-compliance of the financial statements to the preparation basis in essential aspects.
There are several reasons to conduct the review of financial statements instead of its audit. One of them may be due to variety of users and their objectives. For the users of financial statements it may be enough to get the limited assurance level of the auditor on the statements. Another reason may be initially caused inability to perform all audit procedures due to various reasons.
According to the review results, the review report is prepared containing information on limited assurance whether the financial statements are free of material misstatement, or the report, describing the findings revealed during the review, which misrepresent the organization’s performance because of the violation of the accounting and preparation of financial statements.
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