Compiled financial statements may omit note disclosures.

Question

Quizplus · Accepted Answer

Compiled financial statements are typically prepared by the company's accountant using information provided by the company. The accountant's report on compiled financial statements does not provide any assurance on the financial statements, and the statements may omit note disclosures. However, if the company wishes to have note disclosures included, they should hire a CPA to prepare reviewed or audited financial statements.

Compiled Financial Statements May Omit Note Disclosures