May an accountant plan and perform an engagement to compile or review the financial statements of a not-for-profit entity if the accountant is unfamiliar with the specialized industry accounting principles?
A)Only a compilation could be performed without the specialized knowledge.
B)Only a review could be performed without the specialized knowledge.
C)Both a compilation and a review could be performed without the specialized knowledge.
D)Neither a compilation nor a review could be performed without the specialized knowledge.

Question

Quizplus · Accepted Answer

An accountant must have sufficient knowledge of the industry to perform either a compilation or a review engagement.

May an Accountant Plan and Perform an Engagement to Compile