What is an accountant compilation report?

Compilation report A compilation report is a report prepared by the accountant tasked with performing compilation service by a client and should accompany the compiled financial statements. Unlike an audit or review report, a compilation report comprises a single paragraph, without paragraph titles.

What does Ocboa stand for in accounting?

Other Comprehensive Basis of Accounting (OCBOA) includes financial statements prepared using a system of accounting that differs from GAAP, the most common being tax-basis and cash-basis financial statements.

Can a CPA issue a compilation report?

YOUR CPA CAN PROVIDE Typically, this service is performed in conjunction with bookkeeping or transaction processing services and can be monthly, quarterly or annually. The financial statements are prepared in accordance with an acceptable financial reporting framework.

Can a CPA compile an OCBOA financial statement?

Of course, the statements on standards for accounting and review services (SSARSs) allow CPAs to compile financial statements when management elects to omit substantially all of the disclosures. This applies both to GAAP-basis and OCBOA statements.

What’s the difference between GAAP and OCBOA?

A key difference between GAAP-basis financial statements and those prepared under OCBOA is that the latter does not require a statement of cash flows . One criticism of OCBOA statements is that disclosures are not adequate.

Are there any criticisms of the use of OCBOA?

One criticism of OCBOA statements is that disclosures are not adequate. As a result, it is recommended that comprehensive disclosures be made by a company that has adopted OCBOA, including the basis of accounting used, contingent liabilities and risks and uncertainties.

Do you need to modify your OCBOA departure report?

Review and compilation reports should be modified for OCBOA departures, but there is no requirement to modify these reports for inconsistencies and going-concern issues.