A CPA review is a deep dive into your financial statements to ensure they are free from material misstatements. Unlike an audit, which provides assurance that financial statements are presented fairly, a review is less intensive but still offers a limited assurance. This means that while the CPA doesn’t verify every single detail. He/she applies analytical procedures and inquiries to ensure the financial statements make sense and are consistent. The CPA Review Report builds creditability, ensures compliance, helps in decision making, and prepares for potential investors.

What Does the CPA Review Process Involve?

• Inquiry: The CPA will ask questions about your financial practices, the nature of your transactions, and any unusual or inconsistent items in your statements.
• Analytical Procedures: The CPA will analyze trends, ratios, and other relationships in your financial statements to identify any inconsistencies or unusual items.
• Review of Documentation: While not as extensive as an audit, the CPA will look at selected documentation to corroborate the information in the financial statements.

Once the review is complete, the CPA will issue a report. Then this report will state whether the CPA is aware of any material modifications that should be made to the financial statements for them to be in accordance with the applicable financial reporting framework.