When accountants agree to perform a compilation or review of unaudited financial statements, the best way to avoid clients’ misunderstanding the nature of the work is to describeit completely ina. An engagement letter.b. The auditors’ opinion.c. A report to the clients’ board of directors at the close of the engagement.d. A management letter to the board of directors’ audit committee.

Question

When accountants agree to perform a compilation or review of unaudited financial statements, the best way to avoid clients’ misunderstanding the nature of the work is to describe
it completely in
a. An engagement letter.
b. The auditors’ opinion.
c. A report to the clients’ board of directors at the close of the engagement.
d. A management letter to the board of directors’ audit committee.

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