Reviews of Compliance with Agreements and Regulations
Section 8600
Reviews of Compliance with Agreements and Regulations
Section 8600
Section 8600
- This section should be read in conjunction with section 8100
- An example of an engagement under this section would include a loan agreement which requires the public accountant to report on the compliance of covenants such as the maintains of a specified current ratio
- Audit report on compliance with agreements, statutes and regulations is covered under section 5815
- In addition to the inquiry, analytical procedures and discussion, the accountant should:
- Read the applicable provisions of the agreement or regulation
- Make inquiries concerning the information maintained by the enterprise to monitor its compliance
- Consider consistency in the application of interpretations that have been made of the applicable provisions of the agreement or regulation