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In a limited assurance engagement,the practitioner gives his report in the form off negative assurance.its the form:
” Nothing has come to the practitioner attention that causes him to believe that the financial statements are not prepared,in all material respect,in accordance with applicable financial reporting framework.”
Question :Does it mean that in a negative assurance report the practitioner simply confirms that the financial statements are prepared,in all material respect,in accordance with applicable financial reporting framework?In a limited assurance that give the report of negative assurance means… The auditor believe that NOTHING has come to the auditor´s attention the FS was not prepared in accordance to the applicable FRF
Here the auditor does a lot less work than in the Audit Engagement that produces POSITIVE ASSURANCE. Not as through.
The negative assurance can be any part of FS and the person who commission the auditor can be the management.
The word NEGATIVE itself shows on the word NOTHING….
If you read your book further.. you may find the differences between Negative and Positive assurance.
If you are interested to attempt F8 in June 2011.
Then join
https://opentuition.com/groups/f8-audit-and-assurance/forum/topic/study-session-for-june-2011/?topic_page=3&num=15Limited Assurance: is a low level assurance where engagement risk higher than in a reasonable assurance engagement. Nature, timing or extent of evidence gathering procedures deliberately less, but still results in a level of assurance that is meaningful to users, Negative form of conclusion
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