CA Final · Advanced Auditing, Assurance and Professional Ethics · Related Services
A CA firm is asked to perform an engagement for Bharat Cements Ltd to assist management with preparing historical financial information, without obtaining any assurance on it. The partner asks which standard governs this engagement. Which is correct?
SRS 4410 (Revised) governs the engagement. It deals with the practitioner's responsibilities when assisting management to prepare and present historical financial information without obtaining any assurance, and with reporting on that engagement. SRS 4400 concerns agreed-upon procedures instead.
- ASRS 4400, because it deals with agreed-upon procedures on financial information
- BSRS 4410 (Revised), because it deals with the practitioner's responsibilities when assisting management with preparation and presentation of historical financial information without obtaining any assuranceCorrect
- CSQC 1 alone, since it governs the form of the report for every related service
- DSRS 4400, because the report form is the same for all related services
Explanation
SRS 4410 (Revised) deals with a practitioner engaged to assist management in preparing and presenting historical financial information without obtaining any assurance, and with reporting under that SRS. SRS 4400 relates to performing agreed-upon procedures and reporting on them. SQC 1 covers quality control, not engagement-specific reporting.
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