Reporting on Compliance

Free CPA AUD (Auditing & Attestation) lesson in Forming Conclusions and Reporting. 15 min read, ~2,247 words.

AU-C 806 reports negative assurance ("nothing came to our attention") on compliance with contractual agreements or regulatory requirements in connection with a financial statement audit. AU-C 806 applies only when the matters relate to accounting and the audit opinion is unmodified or qualified; an adverse opinion or disclaimer disqualifies it...