A financial statement compilation is a service to assist the management of a business in preparing and presenting its financial statements. It is required to be complied with the General Principles for Engagements Performed in accordance with Statements on Standards for Accounting and Review Services (SSARS).
A compilation engagement is the least expensive of the various forms of assurance services (the other two being a review and an audit), and so is preferred by those cost-sensitive entities whose financial statement users are comfortable with this form of engagement. Compilation activities are not designed to provide any assurance regarding the information contained within the financial statements.
