An engagement letter is used primarily to

Question

Quizplus · Accepted Answer

An engagement letter is a contractual agreement between a CPA and their client that outlines the services to be provided, the responsibilities of both parties, and the expectations for the engagement. Its primary purpose is to ensure a clear understanding of the scope of work, fees, and deliverables for the engagement, and to outline the terms and conditions of the engagement. Option B is incorrect because expressing an opinion on the financial statements is a function of an audit or other assurance engagement, not an engagement letter. Option C is incorrect because management representations are typically obtained during an audit, and Option D is incorrect because an engagement letter is used to establish the liabilities and responsibilities of both parties, not to disclaim liability.

An Engagement Letter Is Used Primarily to