compilations.......

"~^ beancounter ~^" wrote

Anybody can.

I suppose a "compilation report" can be prepared and signed by anyone. But, in the instance of a CPA prepared compilation report, it should be signed by the CPa or the firm.

A "review" is not a "compilation".

right, my real question is...can a business consulting firm (in colorado) with a current licensed CPA employee .... provide a compilation letter to a client ?

or, does the consulting firm have to be a CPA firm? ... Compilation letter, no review or audit.....

thanx !!

Compilations do not require a CPA nor do they require the person completing the compilation to be independent.

mike

"~^ beancounter ~^" wrote

If he compiled the financial statement in accordance with AICPA guidelines, basically GAAP or OCBOA he is required to issue a report.

State law may dictate that to some degree.

Michael>> "nor do they require the person completing the compilation to be independent"

what does this mean.....if an accountant works for xyz mfg co, they can "issue" a compilation letter (on their own entity) ?

right, one "digs" much deeper in a review vs. a compilation, right?

"~^ beancounter ~^" wrote

If they sign it as "Joe Employee, CPA" then they need a compilation letter that also says they are no independent of the entity.

If they sign it as "CFO" or "Controller" then it's quite obvious that they are not independent of the entity.

At least that's how I remember the screwball language to read.

"!-!" wrote

While there probably are professional differences between countries with respect to compilations, reviews and audits, there isn't any difference (or supposed to be any) between identical reports issued in differing states. So an audit in Alabama isn't any different than an audit in Maine.

Except to say that the Alabama auditor might be related to the client.....

I thought that was in Georgia (maybe along the Alabama border

"Dave" wrote

There's probably a fair share of it here too.

Seems a lot of people are "cousins" of someone else.

sorta like the song "i'm my own grandpa" ??

"~^ beancounter ~^" wrote

They put that to music?

The song was written in 1947 by Dwight Latham and Moe Jaffe, originally published by General Music Publishing Company, Inc. (one of my former clients), which was acquired in 1984 by Screen Gems-EMI Music.

In 1973, Latham wrote that he and Jaffe got the idea for the song in the

1930s from a book of writings by Mark Twain which included a paragraph in which it was posited that a man could become his own grandfather through a series of events similar to those which open the song; Latham told the story on a radio show he had on NBC, and it received a good audience response, so later he & Jaffe expanded the progression to fill several verses and set the results to music. However, since that disclosure various attempts by numerous people to identify the original Twain paragraph have come up dry, so it's possible that Latham misremembered the source of their inspiration or, for some unknown reason, invented the account altogether.

There are various other older songs which address the basic concept of odd family relationships resulting from intergenerational marriages and the issue therefrom, but this is by far the most popular one.

you can hear it/see it in the movie "the stupids"...

we sat out on a deck, in avalon this summer (after a few beers) and heard a local musican sing it...its pretty funny...i'll bet it is hard to memorize the lyrics...

the kids always get a kick out of it...