STATEMENT ON AUDITING PROCEDURE
Unaudited Financial Statements
(Supersedes paragraphs 17 and 18 of Chapter 10 of Statements on Auditing Procedure No. 33)
1. A certified public accountant may be engaged to prepare, or to assist his client in preparing, unaudited financial statements. This type of engagement is an accounting service as distinguished from an examination of financial statements in accordance with generally accepted auditing standards. This accounting service, which may include assistance in adjusting and closing the gen-eral books, frequently is rendered as an adjunct to the preparation of tax returns. Although the certified public accountant may have prepared, or assisted in preparing, unaudited financial statements, the statements are representations of management, and the fair-ness of their representation is management's responsibility.
2. For purposes of this Statement, financial statements are un-audited if the certified public accountant (a) has not applied any auditing procedures to them or (b) has not applied auditing
Issued by the Committee on Auditing Procedure American Institute of Certified Public Accountants
COPYRIGHT 1967 BY THE AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS, INC. 666 FIFTH AVENUE, NEW YORK, N. Y. 10019