In this lesson, Nick Palazzolo introduces agreed-upon procedures engagements, which involve a CPA performing specific procedures requested by the client to obtain limited assurance about a subject matter. He highlights that in such engagements, the CPA is not required to obtain an understanding of the client's internal controls or to perform any testing of the financial statements. The focus is on understanding when and why certain procedures are used, and their relevance to the different stages of an engagement. Additionally, Nick emphasizes that agreed-upon procedures engagements are often used to provide comfort to third parties without the need for a full audit, while noting the importance of independence and the varying needs of engaging parties.
Lesson: Introduction to Agreed-Upon Procedures
In this lesson, Nick Palazzolo introduces agreed-upon procedures engagements, which involve a CPA performing specific procedures requested by the client to obtain limited assurance about a subject matter. He highlights that in such engagements, the CPA is not required to obtain an understanding of the client's internal controls or to perform any testing of the financial statements. The focus is on understanding when and why certain procedures are used, and their relevance to the different stages of an engagement. Additionally, Nick emphasizes that agreed-upon procedures engagements are often used to provide comfort to third parties without the need for a full audit, while noting the importance of independence and the varying needs of engaging parties.
Updated: June 22, 2023 Create an account