Umair Manzoor & Co. Chartered Accountants performs audits and related engagements in Pakistan. A statutory audit gives shareholders an independent opinion on whether the company’s financial statements show a true and fair view. Where an audit is not required, a review gives limited assurance based mainly on enquiry and analysis, a compilation gives no assurance, and agreed-upon procedures report factual findings on the specific matters chosen. We tell you which one fits the purpose before any work starts, and what the report you receive will and will not say.
The points where this service comes into play are numbered.
Numbered points are explained below.
At: Appointing the auditor
Your company needs an auditor appointed within the time the Companies Act allows.
We confirm our independence and agree the engagement terms in writing before we accept the appointment.
At: Fieldwork
A lender or regulator has asked for a report and you are not sure which kind they need.
A conversation with you, and if you wish the lender, about which report fits the purpose.
At: The report
Control weaknesses found during the audit are reported to you, not only noted in the file.
A management letter on control weaknesses found during the audit.
At: The annual filing
The year-end has passed and the audited accounts are needed for the annual filing.
Planning, fieldwork and the auditor’s report under the ISAs as adopted by ICAP.
Planning, fieldwork and the auditor’s report under the ISAs as adopted by ICAP.
Control weaknesses found during the audit, set out in writing.
Review engagements, with a review report under the review standard ICAP has adopted.
Compilation engagements, with a compilation report under the compilation standard ICAP has adopted.
Specific checks a lender or regulator asks for, with a report of factual findings.
Which report fits the purpose, talked through with you and, if you wish, the lender.
Ask us, and we will tell you plainly whether it is work we can take on.
We confirm who will use the accounts and what they need, and which engagement fits: audit, review, compilation or agreed-upon procedures.
We carry out the acceptance and independence checks the standards require, then issue an engagement letter.
We learn the business, assess risks and agree a timetable and document list with you.
For an audit, we test balances and transactions. For a review, we make enquiries and perform analysis. For a compilation, we help prepare the financial information from your records. For agreed-upon procedures, we carry out only the checks agreed.
We discuss findings with management, obtain the written representations the standards require, and issue the report: an auditor’s report, a review report, a compilation report or a report of factual findings.
The Companies Act 2017 requires companies to have their annual financial statements audited, subject to any relief the Act gives to certain classes of company. We check which rules apply to yours.
An audit gives reasonable assurance and an opinion on whether the accounts show a true and fair view. A review gives limited assurance: we perform enquiries and analysis and report whether anything suggests the accounts are materially misstated. A compilation gives no assurance: we help prepare the accounts from your information and report that we have done so.
We work to the standards ICAP has adopted from the IAASB: the International Standards on Auditing for audits, and the IAASB’s standards for reviews, compilations and agreed-upon procedures.
Not where the Companies Act 2017 requires an audit. A review, a compilation or agreed-upon procedures are for purposes where an audit is not required. When we issue the report, we go through what it covers and what it does not, so you can explain it to the bank or other user.
Listed and other public-interest companies need an auditor with the registrations and quality-control rating the law requires; we tell you before accepting whether we can act.