Limited assurance engagement. A reduction in assurance engagement risk to a level that is acceptable in the circumstances of the assurance engagement but where that risk is greater than for a reasonable assurance engagement, as the basis for a negative form of expression of the auditor's conclusion.
Why is assurance engagement limited?
A limited assurance engagement is an assurance engagement in which the practitioner reduces engagement risk to a level that is acceptable in the circumstances of the engagement but in which the risk is greater than for a reasonable assurance engagement.
What are examples of limited assurance engagement?
The half-year review is an example of a limited assurance engagement that is conducted by the company's auditor under ISRE 2410. These reviews are ordinarily based on inquiry of management and analytical procedures.
What are the two types of assurance engagements?
Under this Framework, there are two types of assurance engagement a practitioner is permitted to perform: a reasonable assurance engagement and a limited assurance engagement.