For some companies, the cost and time burden of full financial statement audits is neither necessary nor affordable.
In the absence of a need for an audit, a review can strengthen credibility of your company’s financial statements in the eyes of external stakeholders such as financiers, creditors and investors. In many instances, the cost of a review is more than offset by savings in finance costs provided by financiers or by additional value ascribed to the company by new investors.
A review opinion, by nature of its limited scope, provides a level of assurance that is less than that of an audit while still providing some comfort to users that no material misstatement was identified during the performance of the review procedures. For additional assurance, an audit engagement may be appropriate where the auditor provides reasonable assurance that the financial statements are free of material misstatement – an important distinction.
How we help
A mandated component of the reporting cycle for entities listed on stock exchanges in Australia (used in interim or ‘half year’ reporting), Grant Thornton stands ready to provide its expertise and experience to help companies achieve their goals.
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