Audit, Reviews, Compilation
Merina+Co offers assurance services to governmental and municipal entities. Focused on your wants and understanding your needs, we provide audits, reviews, and compilations. Each type of financial statement report may suit specific circumstances, depending on requirements from stakeholders. Understanding each report's unique strengths and weaknesses can help you choose the most appropriate one. Please call if you have questions about which type of assurance report is right for your needs.
An audit provides the highest level of assurance. An audit is a methodical review and objective examination of the financial statements, including the verification of specific information as determined by the auditor or as established by general practice. Our work includes a review of internal controls, testing of selected transactions, and communication with third parties. Based on our findings, we issue a report on whether the financial statements are fairly stated and free of material misstatements.
The objective of any governmental audit is compliance, public accountability, and stewardship.
Compliance Audits / Examinations
Merina+Co conducts compliance audits and examinations by applying specific auditing procedures based on legal or regulatory requirements. This can include program specific audits and/or compliance with specific laws and regulation. Each compliance audit/examination is unique which requires Merina+Co to determine which auditing standards will be applied. In the governmental sector typically these engagements fall under the Government Auditing Standards requirements. We write customized audit programs for each audit based on the compliance requirements specified in the regulation(s) and/or contract(s).
Merina+Co views the annual audit as an opportunity to add value. We have supported many of our clients with best practices that improve their own accounting systems. We are available to help you identify ways to implement these best practices into your procedures and systems. We can also assist you in obtaining or retaining the Government Finance Officer Association Certificate of Achievement for Excellence in Financial Reporting.
Merina+Co performs compliance audits of federal award programs either on a stand-alone basis or as a single audit done in conjunction with an audit of the financial statements. When performing a single audit we use dual-purpose testing for efficiency and fee savings.
A review engagement consists primarily of analytical procedures we apply to the financial statements, and various inquiries we make of your entity’s management team. A review is less extensive than an audit, but more involved than a compilation. If the financial statements or supporting information appear inconsistent or otherwise questionable, we may need to perform additional procedures.
A review doesn't require us to study and evaluate your company's internal controls, verify data with third parties or physically inspect assets. Rather, a review report expresses limited assurance in the form of the statement: "We are not aware of any material modifications" for the financial statements to be in conformity with the Generally Accepted Accounting Principles (GAAP). Reviewed financial statements must include all required footnotes and other disclosures.
In compiling financial statements for an entity, we present information that is the "representation of management" and expresses no opinion or assurance on the statements. Compilations do not require inquiries of management or analytical procedures. Instead, we rely on our knowledge of accounting principles and a general understanding of your business