CA Final · Advanced Auditing, Assurance and Professional Ethics · Related Services

Verma & Co. are engaged to compile a schedule of financial information for Tapti Pharma Ltd. that a regulator requires, prepared in accordance with provisions prescribed by the regulator on form and content. The partner drafts the report as follows: a statement that the schedule is based on information provided by management; a statement that the compilation was performed per SRS 4410 (Revised); a statement of compliance with relevant ethical requirements; a statement that the report is intended solely for the intended users. Which additional assertion, consistent with the illustrative report for this situation, is essential?

The report should state that the practitioner applied accounting and financial reporting expertise to help prepare the schedule as the regulation prescribes. It should also state that the schedule and the accuracy and completeness of the underlying information are management's responsibility, and that no audit opinion or review conclusion is expressed because compilation is not assurance.

1. AThat the practitioner has obtained reasonable assurance that the schedule is free from material misstatement
2. BThat the practitioner has applied expertise in accounting and financial reporting to assist in preparing the schedule as prescribed by the regulation, and that the schedule and the accuracy and completeness of the information used are management's responsibility, with no audit opinion or review conclusion expressedCorrect
3. CThat the practitioner has verified the accuracy and completeness of the information provided by management
4. DThat the schedule is presented in accordance with the applicable framework as confirmed by an audit opinion