In certain circumstances, some business entities may require an Examination of Specific Accounts or Transactions related to another company, without conducting a full financial audit of the entire financial statements. This need typically arises when there is a difference or dispute between two parties concerning a specific balance or financial transaction, necessitating an independent and objective evaluation by a licensed auditor.
What is the purpose of the Examination of Specific Accounts or Transactions under Agreed-Upon Procedures?
This type of engagement is carried out based on a prior agreement between the auditor and the client or the intended user, whereby the specific procedures to be performed by the auditor and the particular accounts or data to be examined are clearly defined.
Upon completing these procedures, the auditor prepares an objective report presenting the actual results of the examination without expressing an opinion or assurance on the financial statements as a whole. This provides the interested parties with a reliable level of assurance regarding the accuracy of the specific accounts or transactions examined.
When do business entities need this service?
Companies typically engage this service in the following situations:
- When there is a need to verify the accuracy of specific transactions, such as revenues and expenses, or accounts receivable and payable.
- Upon a request from a regulatory or supervisory authority, or from a related party seeking limited assurance regarding specific information.
- When a company wishes to obtain an independent evaluation of a portion of its financial data without conducting a full audit.
What is the added value of this service for business entities?
The Examination of Specific Accounts or Transactions provides several advantages to Baker Tilly’s clients, including:
- Independent verification of the accuracy of data within a defined scope of accounts or transactions.
- Enhanced confidence of stakeholders (such as partners, investors, or regulators) in the reliability of the financial information provided.
- Reduced cost compared to a full financial audit, while maintaining an appropriate level of professional assurance.
- Flexibility in defining the scope of the examination to meet the client’s needs or those of the intended user.
What are the services provided by Baker Tilly Kuwait?
Examination of Specific Accounts or Transactions.
Why Baker Tilly Kuwait?
- Specialized professional expertise in conducting targeted examination engagements in accordance with International Standards on Related Services (ISRS) for Agreed-Upon Procedures Engagements.
- Official accreditation with regulatory authorities in the State of Kuwait, including the Ministry of Commerce and Industry, Central Bank of Kuwait, Capital Markets Authority, and Insurance Regulatory Unit.
- Full independence and objectivity in report preparation to ensure credibility before the intended users.
- High accuracy and efficiency, with strict adherence to professional standards and agreed timelines.