Statements on Standards for Accounting and Review Services: Clarification and Recodification
The Accounting and Review Services Committee (ARSC) has issued Statement on Standards for Accounting and Review Services No. 21, Statements on Standards for Accounting and Review Services: Clarification and Recodification. The issuance of SSARS No. 21 represents a major milestone in the ARSC’s project to clarify and revise the standards for reviews, compilations, and engagements to prepare financial statements.
To assist readers to easily locate information, a detailed table of contents is provided at the beginning of the SSARS. This statement recodifies and supersedes all outstanding SSARSs through No. 20, except SSARS No. 14, Compilation of Pro Forma Financial Information.
SSARS No. 21 is effective for reviews, compilations, and engagements to prepare financial statements for periods ending on or after December 15, 2015 but early implementation is permitted.
This statement is a standalone SSARS and is not a codification of all clarified SSARSs. This statement has been codified in AICPA Professional Standards, which contains a complete codification of Statements on Standards for Accounting and Review Services. Practitioners are advised to use the codified version of this SSARS as they prepare to evaluate and update their methodologies, and prepare for changes precipitated by the clarity project.
60 General Principles for Engagements Performed in Accordance With Statements on Standards for Accounting and Review Services 01–A50
70 Preparation of Financial Statements 01–A20
ExhibitOther Preparation, Compilation and Review Publications A50
AppendixPreparation of Financial Statements Versus Assistance in Preparing Financial Statements A19
ExhibitIllustrative Engagement Letter A20
80 Compilation Engagements 01–A43
Exhibit AIllustrative Engagement Letters A42
Exhibit BIllustrative Examples of the Accountant’s Compilation Report on Financial Statements A43
90 Review of Financial Statements 01–A1 47
Appendix AAnalytical Procedures the Accountant May Consider Performing When Conducting a Review of Financial
Appendix BUnusual or Complex Situations to Be Considered by the Accountant When Performing Inquiry Procedures in a Review of Financial Satements A144
Exhibit AIllustrative Engagement Letters A145
Exhibit BIllustrative Representation Letter A146
Exhibit CIllustrations of Accountant’s Review Reports on Financial Statements A147
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