Positive assurance within accounting ethics, is the affirmation that a Certified Public Accountant believes a something to be true or correct. Issuing an opinion that the financial statements are presented fairly in conformity with U.S. GAAP is an example of a CPA providing positive assurance.
When an unmodified audit opinion is given, by definition, the CPA has provided positive assurance because they performed work to prove that financial statements are free from material error.
The corollary is negative assurance, a statement about what the CPA does not know. A statement that the CPA was "not aware of material modifications that should be made to financial statements for them to conform with U.S. generally accepted accounting principles" is negative assurance used in review reports.
YouTube Encyclopedic
-
1/3Views:1 2277 29611 270
-
What is Audit Assurance | Positive vs Negative Assurance
-
Assurance Services: Reviews of Financial Statements | Auditing and Attestation | CPA Exam
-
Be Popular & Highly Thought Of Subliminal Affirmations Audio
Transcription
See also
- Government Accountability Office
- Index of accounting articles
- International Organization of Supreme Audit Institutions
- Legal liability of certified public accountants
References
 | This accounting-related article is a stub. You can help Wikipedia by expanding it. |
This page was last edited on 14 July 2022, at 13:05