Negative assurance is most likely to be provided in a practitioner's report with:
A)A compilation report.
B)Agreed-upon procedures having been performed.
C)An examination report with an adverse opinion.
D)A review report,

Question

Quizplus · Accepted Answer

Negative assurance refers to a statement that nothing has come to the practitioner's attention that suggests that the subject matter being reported on is materially misstated. This type of assurance can be provided in a review report, which is a limited form of assurance engagement. Therefore, the best choice is D, a review report, as it is the only option that involves the provision of negative assurance. A compilation report (choice A) may include a statement that the financial statements have not been audited or reviewed, but it does not include any assurance on the accuracy or completeness of the financial statements. Agreed-upon procedures (choice B) involve the performance of specific procedures agreed upon between the practitioner and the client, and the practitioner's report will state the findings resulting from those procedures, rather than providing negative assurance. An examination report with an adverse opinion (choice C) indicates that the practitioner has found material misstatements in the subject matter being reported on, and it does not involve the provision of negative assurance.

Negative Assurance Is Most Likely to Be Provided in a Practitioner's