What IS ISRS 4400?

International Standard on Related Services (ISRS) 4400, “Engagements to Perform Agreed-upon Procedures Regarding Financial Information” should be read in the context of the “Preface to the International Standards on Quality Control, Auditing, Review, Other Assurance and Related Services,” which sets out the application …

What IS agreed upon procedures?

An agreed-upon procedure is a standard a company or client outlines when it hires an external party to perform an audit on a specific test or business process.

Is AUP an assurance engagement?

Agreed-Upon Procedures (AUP) Engagements: the practitioner provides a report based on factual findings regarding financial information—no assurance is expressed. The report is not distributed publicly—it is restricted to those parties that have agreed to the procedures.

What are the matters to be agreed upon by the parties in an agreed upon procedures engagement?

Matters that should be agreed upon include the nature, timing, and extent of the procedures. requirements in an agreed-upon procedures engagement on compliance.

What is an agreed upon engagement report?

Scope. 4. An agreed-upon procedures engagement involves the performance of procedures of an assurance nature from which no conclusion or opinion is expressed by the member, and no assurance is provided to intended users. Instead only factual findings obtained as a result of the procedures performed are reported.

Who can perform agreed upon procedures?

4. In an agreed-upon procedures engagement, the practitioner performs the procedures that have been agreed upon by the practitioner and the engaging party, where the engaging party has acknowledged that the procedures performed are appropriate for the purpose of the engagement.

What is AUP engagement?

Agreed-upon procedures engagement: In an agreed-upon procedures engagement, a practitioner performs specific procedures on financial or nonfinancial subject matter or an assertion and reports the findings without providing an opinion or a conclusion. Findings are the factual results of the procedures performed.

What is agreed upon investigation?

Agreed-upon procedures are those activities that a client and an auditor agree will be employed in the investigation of specific accounts or procedures. The auditor does not express an opinion about this investigation, instead reporting on the procedures used and any resulting findings.

What is an agreed-upon engagement?

An agreed-upon procedures engagement involves the performance of procedures of an assurance nature from which no conclusion or opinion is expressed by the member, and no assurance is provided to intended users. Instead only factual findings obtained as a result of the procedures performed are reported.

What procedures are required on a review engagement?

The review procedures that the practitioner is required to perform include: Inquiries on the accounting practices used by the company. Representations from management on the accuracy of the financial statements. Management responsibility for internal control systems.

What was the purpose of the ISRS 4400?

ISRS 4400 (Revised), Agreed-Upon Procedures Engagements, has been revised to respond to the growing demand for these engagements, particularly in relation to the need for increased accountability around funding and grants.

What is the international standard on related services 4400?

International Standard on Related Services (ISRS) 4400, “Engagements to Perform Agreed-upon Procedures Regarding Financial Information” should be read in the context of the “Preface to the International Standards on Quality Control, Auditing, Review, Other Assurance and Related Services,” which sets out the application and authority of ISRSs.

How many board members voted against ISRS 4400?

Among other matters, the project proposal includes the background, scope, objective and how the project to revises ISRS 4400 serves the public interest. It also includes the outline of the project and a tentative timetable. The Board approved ISRS 4400 (Revised) with 17 Board members voting for approval and one vote against.

When does the revised ISRS come into effect?

The revised ISRS will be effective for agreed-upon procedures engagements for which the terms of engagement are agreed on or after January 1, 2022. Once the PIOB’s confirmation that due process was followed is received, the Board will formally release the standard.