Arel,CPA,was engaged by a group of royalty recipients to apply agreed-upon procedures to financial data supplied by Modit Co.regarding Modit's written assertion about its compliance with contractual requirements to pay royalties.Arel's report on these agreed-upon procedures should contain a(an).
A)Disclaimer of opinion about the fair presentation of Modit's financial statements.
B)List of the procedures performed (or reference thereto) and Arel's findings.
C)Opinion about the effectiveness of Modit's internal control activities concerning royalty payments.
D)Acknowledgment that the sufficiency of the procedures is solely Arel's responsibility.

Question

Quizplus · Accepted Answer

Arel's report on agreed-upon procedures should contain a list or reference to the procedures performed and his findings. The report should not contain an opinion on the fair presentation of Modit's financial statements, the effectiveness of Modit's internal control activities, or an acknowledgment of the sufficiency of the procedures performed.

Arel,CPA,was Engaged by a Group of Royalty Recipients to Apply