Our firm provides outstanding service to our clients because of our dedication to the three underlying principles of professionalism, responsiveness and quality.Read More
Our firm is one of the leading firms in the area. By combining our expertise, experience and the energy of our staff, each client receives close personal and professional attention.Read More
Companies who choose our firm rely on competent advice and fast, accurate personnel. We provide total financial services to individuals, large and small businesses and other agencies.Read More
Stockholders, creditors, and private investors often need assurance that the financial statements accurately represent the true financial position of a company. These groups often have different levels of risk tolerance, so we provide three levels of assurance to meet your needs.
Audit - 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. Typically, we will have written communication with your customers, banks and vendors to confirm balances; and with your aour attorney(s), to obtain information on pending or threatened litigation.
We also perform physical inspections by observing your inventory counting methods and perform test counts. We document and test each operating cycle, including sales and cash receipts, expenses and cash disbursements, and payroll. Our audit papers include a detailed work program to document the examinations and testing performed, as well as the client's supporting work papers.
Based on our findings, we issue a report on whether the financial statements are fairly stated and free of material misstatements.
Review - Limited Assurance
A review engagement consists primarily of analytical procedures we apply to the financial statements, and various inquiries we make of your company's management team. 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 or 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.
Compilation - Lowest Level of Assurance
In compiling financial statements for a client, we present your financial information and expresses no opinion or assurance on the statements. Compilations don't require inquiries of management or analytical procedures. Instead, we rely on our knowledge of accounting principles and a general understanding of your business.
Banks often require compilations from an independent CPA as part of their lending covenants.
Which Report Should You Use?
Each type of financial statement report may suit specific circumstances, depending on requirements from your bank, regulators or investors, as well as meet budgetary needs. Count on us to help you understand each report's unique strengths and weaknesses and to choose which is right for you.
Smith, Nale & Company, Inc.
Certified Public Accountants | 327 North Main Street, Punxsutawney, PA 15767 | Phone: 814-938-3555 | Fax: 814-938-3553 | email@example.com