1. MODULE 5 REPORTING Park Avenue CPA Review Joseph A. Maffia, CPA Park Avenue CPA Review Joseph A. Maffia, CPA

2. CONTACT ME AT JMaffia@ParkAveCPAReview.com Joseph A. Maffia, CPA JMaffia@ParkAveCPAReview.com

3. Objectives  Restricted Use  Auditor’s report - general  Auditor’s report – detailed  Association with financial statements  Reporting on compliance

4. Restricted use - required  The subject matter is based upon criteria in contractual arrangement or regulatory provisions that are not GAAP  Agreed upon procedures engagements  By products of an audit – internal control communications or other communications to audit committees

5. Restricted use - other  While not required you can pretty much restrict the use of any report

6. Audit Report  Providing an independent and expert opinion on the fairness of financial statements through an audit is the most frequent attestation service  When performing an audit, the auditors obtain reasonable assurance that the statements are in conformity with GAAP

7. Typical Coverage of Audit Reports Reports on the financial statements ordinarily include an opinion that is on both the:  Financial statements themselves: – Balance sheet – Income statement – Statement of cash flows ( required when both B/S & I/S presented) – Statement of retained earnings (equity)  Financial statement disclosures – The notes to the financial statements are considered an integral part of the financial statements

8. We have audited the accompanying balance sheet of XYZ Company as of December 31, 2011, and the related statements of income, retained earnings, and cash flows for the year then ended. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit. OLD STANDARD The Standard Auditors’ Report-- Introductory Paragraph

9. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. OLD STANDARD The Standard Auditors’ Report-- Scope Paragraph

10. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of XYZ Company as of December 31, 20XX, and the results of its operations and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America. OLD STANDARD The Standard Auditors’ Report-- Opinion Paragraph

11. Conditions Required for Issuance of an Unqualified Report The financial statements are presented in conformity with GAAP, including adequate disclosure. The audit was performed in accordance with GAAS, and there were no significant scope limitations.

12. Modifications of Auditors’ Report— Qualified Opinions “except for the effects of such adjustments, if any, as might have been determined to be necessary had we been able to…” Describe scope limitation “Except as explained in the following paragraph…” Qualified— Scope Limitation “except for the effects of the departure the financial statements…” Describe departure and effects None Qualified— GAAP Departure Opinion Paragraph Explanatory Paragraph Introductory or Scope Paragraph Type of Report

13. Shared Responsibility Report [Standard introductory paragraph language] We did not audit the financial statements as and for the year ended December 31, 2001 of Glendo, Inc., which statements reflect total sales constituting 27 percent of total consolidated sales for 2001. Those statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to data included for Glendo, Inc. for 2001, is based solely on the report of the other auditors. [Standard scope paragraph language] We believe that our audits and the reports of other auditors provide a reasonable basis for our opinion. In our opinion, based on our audits and the reports of other auditors, …

14. Explanatory Paragraph--Going Concern Problem The accompanying financial statements have been prepared assuming that [America West Airlines, Inc..] will continue as a going concern. As discussed in note 1 to the financial statements, the Company filed a voluntary petition seeking to reorganize under chapter 11 of the federal bankruptcy laws. This event and circumstances relating to this event, including the Company’s significant losses, accumulated deficit, and highly leveraged capital structure, raise substantial doubt about its ability to continue as a going concern. Although the Company is currently operating as debtor-in-possession under the jurisdiction of the Bankruptcy Court, the continuation of the business as a going concern is contingent upon, among other things, the ability to (1) formulate a Plan of Reorganization which will gain approval of the creditors and stockholders and confirmation of the Bankruptcy Court, (2) maintain compliance with all debt covenants under the debtor-in-possession financing agreements, (3) achieve satisfactory levels of future operating results and cash flows, and (4) obtain additional debt and equity. The accompanying financial statements do not include and adjustments that might result from the outcome of these uncertainties.

15. Explanatory Paragraphs--Consistency As discussed in the Notes to the consolidated financial statements, effective January 1, 2001, the Company [McDonald’s Corporation] changed its method for accounting for derivative financial instruments to conform with SFAS No. 133, Accounting for Derivative Instruments and Hedging Activities. ____________________________________ As discussed in Note 15, effective January 1, 2002, the Company changed its method of accounting for goodwill and intangible assets upon adoption of Statement of Financial Accounting Standards (SFAS) No. 142, “Goodwill and Other Intangible Assets.”

16. Example of a Qualified Report-- Departure from GAAP (Introductory and Scope Paragraphs are Standard) The Company has excluded from property and debt in the accompanying balance sheet certain lease obligations that, in our opinion, should be capitalized in order to conform with generally accepted accounting principles. If these lease obligations were capitalized, property would be increased by $__________, long-term debt by $___________, and retained earnings by $__________ as of December 31, 20X1, and net income and earnings per share would be increased (decreased) by $___________ and $_____, respectively, for the year then ended. except for the effects of not capitalizing lease obligations, as discussed in the preceding paragraph, In our opinion, except for the effects of not capitalizing lease obligations, as discussed in the preceding paragraph, the financial statements referred to above present fairly, in all material respects, the financial position of XYZ Company as of December 31, 20X1, and the results of its operations and cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America.

17. Example of a Qualified Report-- Scope Limitation Standard Introductory Paragraph Except as discussed in the following paragraph Except as discussed in the following paragraph, we conducted our audit... We were unable to obtain audited financial statements supporting the Company’s investment in a foreign affiliate stated at $_______, or its equity in earnings of that affiliate of $_______, which is included in net income, as described in Note 8 to the financial statements; nor were we able to satisfy ourselves as to the carrying value of the investment in the foreign affiliate or the equity in earnings by other auditing procedures. except for the effects of such adjustments, if any, as might have been determined to be necessary had we been able to examine evidence regarding the foreign affiliate investment and earnings, In our opinion, except for the effects of such adjustments, if any, as might have been determined to be necessary had we been able to examine evidence regarding the foreign affiliate investment and earnings, the financial statements referred to above present fairly,...

18. Adverse Opinion In our opinion, because of the effects of the matters discussed in the preceding paragraph, the financial statements referred to above do not present fairly In our opinion, because of the effects of the matters discussed in the preceding paragraph, the financial statements referred to above do not present fairly, in conformity with accounting principles generally accepted in the United States of America, the financial position of XYZ Company as of December 31, 20X5, or the results of its operations or its cash flows for the year then ended.

19. Disclaimer of Opinion We were engaged... The Company did not make a count of its physical inventory, stated in the accompanying financial statements at $_____ as of December 31, 20X2. Further, evidence supporting the cost of property and equipment acquired prior to December 31, 20X1, is no longer available. The Company’s records do not permit the application of other auditing procedures to inventories or property and equipment. Since the Company did not take physical inventories and we were not able to apply other auditing procedures to satisfy ourselves as to inventory quantities and the cost of property and equipment, the scope of our work was not sufficient to enable us to express, and we do not express, an opinion on these financial statements.

20. Placement of Explanatory Paragraphs Before opinion paragraph Qualified opinions Disclaimers Adverse opinions Following opinion paragraph Consistency Substantial doubt about continued existence Other types of paragraphs may precede or follow the opinion paragraph

21. New Clarity project reports to follow The AICPA New Standard Auditors’ Report

22. We have audited the accompanying consolidated balance sheets of ABC Company and its subsidiaries, as of December 31, 2011 and 2010, and the related consolidated statements of income, retained earnings, and cash flows for the years then ended. The AICPA Standard Auditors’ Report--Introductory Paragraph

23. Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. The AICPA Standard Auditors’ Report— Management’s Responsibility Paragraph

24. The AICPA Standard Auditors’ Report: Auditors’ Responsibility Paragraphs Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

25. In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of ABC Company and its subsidiaries as of December 31, 20X1 and 20X0, and the results of their operations and their cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America. The AICPA Standard Auditors’ Report--Opinion Paragraph

26. Condition Required for Issuance of Unmodified Opinion  The auditors are able to obtain sufficient appropriate audit evidence to obtain reasonable assurance so as to be able to conclude that the financial statements as a whole are free from material misstatements.

27. Auditors’ Standard Report – Public Clients  Differences from nonpublic – Includes the words “Registered” and “Independent” in the title. – References standards of the PCAOB rather than generally accepted auditing standards. – Includes less detailed discussions of management and auditor responsibilities – Includes an additional paragraph indicating that the auditors have also issued a report on the client’s internal control over financial reporting. The report on internal control may either be presented separately or combined with the report on the financial statements into one overall report – Does not include section headings.

28. Types of Reports with Unmodified Opinions 1. Unmodified opinion—standard report. This report may be issued only when the auditors have obtained sufficient appropriate audit evidence to conclude the financial statements are not misstated and there is no need to alter the report for situations 2, 3 or 4 below. 2. Unmodified opinion—with an emphasis of matter paragraph. To emphasize a matter appropriately presented in the financial statements (e.g., a change in accounting principles). 3. Unmodified opinion—with an other matter paragraph. To emphasize a matter other than those presented or disclosed in the financial statements (e.g., other information in documents containing audited financial statements). 4. Unmodified opinion on group financial statements. When two or more CPA firms are involved in an audit and the group auditor (firm that does most of the work) does not wish to take responsibility for the work of the component auditors.

29. Types of Reports with Modified Opinions 1. A qualified opinion. A qualified opinion states that the financial statements are presented fairly in conformity with generally accepted accounting principles “except for” the effects of some matter. 2. An adverse opinion. An adverse opinion states that the financial statements are not presented fairly in conformity with generally accepted accounting principles. 3. A disclaimer of opinion. A disclaimer of opinion means that due to a significant scope limitation, the auditors were unable to form an opinion or did not form an opinion on the financial statements.

30. Going Concern  Requirements – Auditor not required to perform procedures specifically designed to test going-concern assumption but must evaluate the assumption – Conditions Negative cash flows from operations Defaults on loan agreements Adverse financial ratios Work stoppages Legal proceedings

31. Emphasis of Matter Paragraph—Substantial Doubt as to Going Concern Status The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the consolidated financial statements, the Company has suffered negative cash flows from operations and has an accumulated deficient, conditions that raise substantial doubt about the Company's ability to continue as a going concern. Management’s plans in regard to these matters are also described in Note 1. The consolidated fanatical statements n do not include any adjustments that might result from the outcome of this uncertainly. Our opinion is not modified with respect to this matter. NOTE: Ordinarily an unmodified opinion with an emphasis of matter paragraph is issued. Alternatively, a disclaimer of opinion may be issued.

32. Emphasis of Matter Paragraph—Lack of Consistency A lack of consistent application of accounting principles results in an emphasis of matter paragraph, such as: As discussed in Note 5 to the consolidated financial statements, the Company adopted Statement of Financial Accounting Standards Update No. XXX (provide title) as of December 31, 20X8. Our opinion is not modified with respect to this matter.

33. Additional Emphasis of Matter Situations— Auditor Discretionary  A risk or uncertainty.  Significant related party transactions described in a note to the financial statements.  The company is a component of a larger business enterprise.  Unusually important significant events.  Accounting matters affecting comparability (other than changes in accounting princi­ples) of financial statements with those of the preceding year.

34. Shared Responsibility Report [Standard introductory paragraph language] We did not audit the financial statements as and for the year ended December 31, 2001 of Glendo, Inc., which statements reflect total sales constituting 27 percent of total consolidated sales for 2001. Those statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to data included for Glendo, Inc. for 2001, is based solely on the report of the other auditors. [Standard scope paragraph language] We believe that our audits and the reports of other auditors provide a reasonable basis for our opinion. In our opinion, based on our audits and the reports of other auditors, …

35. Group Financial Statements clarity project – new standards

36. Group Financial Statements 1/5  Group engagement team should obtain understanding of – Whether component auditors are competent and understand and will comply with ethical requirements. – Extent of group engagement team involvement with component auditors. – Whether group engagement team will be able to obtain necessary information on the consolidation process. – Whether component auditors operate in a regulatory environment that actively overseas auditors.

37. Group Financial Statements 2/5  Communicate with component auditors – Inform component auditors how their work will be used. – Communicate ethical requirements. – Provide list of related parties. – Communicate significant risks of misstatements.

38. Group Financial Statements 3/5  Group auditor alternatives – Make no reference to the component auditors – Make reference to the component auditors.

39. Group Financial Statements 4/5

40. Group Financial Statements 5/5 Report: [Standard introductory paragraph language] We did not audit the financial statements as and for the year ended December 31, 2011 of Glendo, Inc., which statements reflect total sales constituting 27 percent of total consolidated sales for 2011. Those statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to data included for Glendo, Inc. for 2011, is based solely on the report of the other auditors. [Standard scope paragraph language] We believe that our audits and the reports of other auditors provide a reasonable basis for our opinion. In our opinion, based on our audits and the reports of other auditors, …

41. Summary of Emphasis of Matter Paragraphs and Group Audits

42. Issuance of Modified Opinions

43. Qualified Opinion—Departure from GAAP  Departure from GAAP – Immaterial – unmodified – Material – qualified – Material and pervasive—Adverse  Misstatements become pervasive when any one of the following applies: – Not confined to specific accounts. – If confined, they represent a substantial proportion of the financial statements. – In relation to disclosures, they are fundamental to users’ understanding of the financial statements.

44. Example of a Qualified Report-- Departure from GAAP (Introductory and Scope Paragraphs are Standard) The Company has excluded from property and debt in the accompanying balance sheet certain lease obligations that, in our opinion, should be capitalized in order to conform with generally accepted accounting principles. If these lease obligations were capitalized, property would be increased by $__________, long- term debt by $___________, and retained earnings by $__________ as of December 31, 20X1, and net income and earnings per share would be increased (decreased) by $___________ and $_____, respectively, for the year then ended., In our opinion, except for the effects of not capitalizing lease obligations as discussed in the Basis for Qualified Opinion Paragraph, the financial statements referred to above present fairly, in all material respects, the financial position of XYZ Company as of December 31, 20X1, and the results of its operations and cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America.

45. Adverse Opinion  Financial statements do not present fairly the financial position, results of operations, and cash flows of client in conformity with GAAP  Material and pervasive departures from GAAP  Auditor believes departure causes financial statements taken as a whole to be misleading

46. Adverse Opinion In our opinion, because of the effects of the matters discussed in the Basis for Adverse Opinion Paragraph, the financial statements referred to above do not present fairly, in conformity with accounting principles generally accepted in the United States of America, the financial position of XYZ Company as of December 31, 20X5, or the results of its operations or its cash flows for the year then ended.

47. Qualified Opinion-Lack of Sufficient Appropriate Audit Evidence (Scope Limitations )  Scope limitations – Imposed by circumstances Important accounting records destroyed – Due to nature of audit Engaged too late in year to observe client’s beginning inventory – Imposed by client Client refused to allow auditors to send confirmations to customers

48. Example of a Qualified Report--Scope Limitation Basis for Qualified Opinion The company has excluded from property and debt in the accompanying balance sheets certain lease obligations that in our opinion, should be capitalized in order to conform with accounting principles generally accepted in the United States of America. If these lease obligations were capitalized, property would be increased by $15,000,000, long-term debt by $14,500,000, and retained earn­ings by $500,000 as of December 31, 20X8. Additionally, net income would be increased by $500,000 and earnings per share would be increased by $1.22 for the year then ended. Qualified Opinion In our opinion, except for the possible effects of the matters described in the Basis for Qualified Opinion paragraph, the financial statements referred to above present fairly, in all mate­rial respects, the financial position of Wend Company as of December 31,20X8, and the results of its operations and its cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America.

49. Disclaimer of Opinion  Auditor has no opinion  Issued whenever unable to form an opinion as to fairness of financial statements  Circumstances resulting in a disclaimer are those in which the possible misstatements are material and pervasive. – Multiple uncertainties may also lead to a disclaimer  Not an alternative to adverse opinion

50. Example of a Disclaimer of Opinion-- Scope Limitation Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on conducting the audit in accordance with auditing standards generally accepted in the United States of America. Because of the matter described in the Basis for Disclaimer of opinion paragraph, however, we were not able to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion. Basis for Disclaimer of Opinion We were unable to obtain audited financial statements supporting the Company's investment in a foreign affiliate stated at $20,500,000, or its equity in earnings of that affiliate of $6,250,450, which is included in net income, as described in Note 8 to the financial statements; nor were we able to satisfy ourselves as to the carrying value of the investment in the foreign affiliate or the equity in earnings by other auditing procedures. Disclaimer of Opinion Because of the significance of the matter described in the Basis for Disclaimer of Opinion paragraph, we have not been able to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion. Accordingly, we do not express an opinion on these financial statements.

51. Placement of Additional Paragraphs  Before opinion paragraph—Basis for Modification (Qualified, Adverse, Disclaimer) Paragraphs  Following opinion paragraph—Emphasis of matter and other matter paragraphs

52. Summary of Appropriate Auditors’ Reports

53. Two or More Report Modifications  Qualified by two or more  Example: Qualified because of both a scope limitation and separate departure from GAAP  Wording of report would include appropriate qualifying language and explanatory paragraphs for both types of qualifications  Auditor should consider cumulative effects – disclaimer of opinion may be appropriate

54. Different Opinions on Different Statements  It is acceptable to express an unqualified opinion on one statement while expressing a qualified or adverse on the others – Example: Auditors retained after client has taken its beginning inventory. A disclaimer may be issue on the income statement (the auditor doesn't know if income is reasonably stated), but an unqualified opinion may be issued on the year-end balance sheet.

55. Reporting on Comparative Financial Statements  Report should cover current year as well as prior period audited by their firm.  Can express different opinions on different years.  Auditor should update report for all prior periods presented for comparison.  If prior period audited by another (predecessor) CPA firm – Current year opinion only covers years the CPA firm audited. – For financial statements audited by predecessor auditors either: Predecessor auditor reissues report with original date, or Current auditors refer to report of other auditors.

56. Reports to SEC  Forms filed with SEC which include audited financial statements – Forms S-1 through S-11 (registration statements) – Forms SB-1 and SB-2 (registration for small businesses) – Form 8-K (current report) – Form 10-Q (quarterly report) – Form 19-K (annual report)  Auditors should be well versed on requirements of each form

57. Assurance Services  Independent professional services that “improve the quality of information, or its context, for decision makers”  Assurance service encompass attestation services but are broader  Attestation, a portion of assurance services, are restricted to examination, review or agreed-upon procedures engagements  Assurance services go beyond attestation, may involve analyzing data or putting them in a form to facilitate decision making

58. Demand for Assurance Services  Reduce information risk for outside parties and enable the company to contract at more favorable terms  Information technology has significantly changed expectations of information users  New services being developed  Continuous auditing  Assurance on system reliability  Performed in accordance with Statement on Standards for Attestation Services

59. Selected Characteristics of Assurance Services

60. Subject Matter  Historical or prospective performance or condition  Physical characteristics  Historical events  Analyses  Systems or processes  Behavior

61. Assertion  Declaration about whether the subject matter is presented in accordance with certain criteria.  Practitioners generally must obtain appropriate assertion about subject matter  Report can be on either – The assertion about the subject matter or – The subject matter itself

62. Criteria  Suitable – Objective – Permit reasonable consistent measurements – Complete – Relevant  Available – Publicly available – Presented in a summary, the assertion or the practitioners’ report

63. Attestation Risk  Risk that practitioners will unknowingly fail to appropriately modify their report on subject matter that is materially misstated  Consists of – Inherent risk – Control risk – Detection risk  Materiality – Difficult because subject matter may not be financial – Determine likely needs of intended users

64. Types of Attestation Engagements  Examinations – Highest level of assurance – Attestation risk at low level  Reviews – Limited or negative assurance – Attestation risk at moderate level  Agreed-upon procedures – Restricted use reports

65. Examination Report

66. Review Report on Subject Matter

67. Assurance on Internal Control over Financial Reporting  Public companies—Performed as a part of the integrated audit covering financial statements and internal control.  Nonpublic Companies—Have the option of having a similar integrated audit. AT 501

68. Prospective Financial Statements  Financial Forecasts – Information about the entity’s expected financial position, results of operations and cash flows  Financial Projection – Expected results, given one or more hypothetical assumptions  CPAs engaged to examine or perform agreed- upon procedures but no review

69. Examinations of Prospective Financial Statements  Practitioners gather evidence relating to the client’s procedures for preparation of the statements  Evaluate the underlying assumptions  Obtain a written representation letter from the client  Evaluate whether statements are in conformity with AICPA guidelines

70. Reporting on Prospective Financial Statements  Report on subject matter  States whether the statements are presented in conformity with AICPA guidelines  Whether underlying assumptions provide a reasonable basis for the statements  Does not vouch for the achievability of the forecast or projection

71. Compliance  Types 1. Attesting to an entity’s compliance with specified requirements of laws, regulations, rules, contracts, or grants. 2. Attesting to the effectiveness of an entity’s internal control over compliance with specified requirements.

72. Management’s Discussion and Analysis  Management required to provide narrative explanation of financial results as part of 10-K and 10-Q  Practitioner may examine or review  Objective to provide assurance on (1) the presentation includes, in all material respects, the required elements of the rules and regulations adopted by the SEC; (2) the historical financial amounts included in the presentation have been accurately derived, in all material respects, from the entity’s financial statements; and (3) the underlying information, determinations, estimates, and assumptions of the entity provide a reasonable basis for the disclosures contained in the presentation.

73. Trust Services  Intended to address user and preparer needs regarding issues of security, availability, processing integrity, online privacy and confidentiality within e-commerce and other systems  System consists of – Infrastructure – Software – People – Procedures – Data

74. Trust Services The practitioner (1) performs procedures to determine that management’s description of the system is fairly stated and (2) obtains evidence that the controls over the system are designed and operating effectively to meet the Trust Services Principles and Criteria—the suitable criteria required for an attest engagement

75. Principles and Criteria Principles 1. Security 2. Availability 3. Processing Integrity 4. Confidentiality 5. Privacy Criteria for each principle 1. Policies 2. Communications 3. Procedures 4.Monitoring

76. Types of Trust Services Engagements  Examination or agreed-upon procedures – WebTrust Assurance on electronic commerce systems – SysTrust Assurance on any system

77. Reporting on Trust Services  WebTrust and SysTrust reports are similar: Assurance is provided on management’s assertion relating to the principles – SysTrust reports may be on one or more of the five principles  Designed to incorporate a seal management process – Seal (logo) included on a client’s website as electronic representation of the report – Engagement must be updated at least annually to use the seal – Initial reporting period must be at least 2 months

78. PrimePlus/ElderCare Services  Financial – Goal setting, funding analysis, needs assessment  Nonfinancial – Interpersonal and relationship management – Management of interaction between service providers and client  Target market – Older clients of CPA – Children of older adults – Other professionals that deal with older adults