What is an assurance engagement in auditing

Assurance engagement means an engagement in which a practitioner expresses a conclusion designed to enhance the degree of confidence of the intended users other than the responsible party about the outcome of the evaluation or measurement of a subject matter against criteria.

What is an example of an assurance engagement?

Reasonable assurance engagements A financial statement audit is an example of a reasonable assurance engagement. This type of engagement reduces assurance engagement risk to an acceptably low. The engagement risk is reduced to a level that allows for a positive form of expression in the auditor's conclusion.

What are the five elements of an assurance engagement?

The five elements of an assurance engagement\n\n The elements are: the three-party relationship; appropriate subject matter; suitable criteria; appropriate evidence; and a conclusion.

What is the purpose of assurance engagement?

The objective of an assurance engagement is to obtain sufficient appropriate evidence to express a conclusion, providing reasonable or limited assurance, as to whether the audited body has complied with the specified requirements of the appropriate legislation (the 'criteria') in all material respects.

What is the difference between audit engagement and assurance engagement?

The notable differences between audit and assurance are as follows: Audit is a procedure of closely monitoring the accounting information provided in a company's financial statements. Assurance, on the other hand, involves assessing and analyzing different operations, processes, and procedures.