benchmark

An audit review and compilation are two different services provided by certified public accountants (CPAs). An audit review is a limited assurance engagement that provides a moderate level of assurance on the financial statements. A compilation is a service that provides no assurance on the financial statements. An audit review is more expensive than a compilation due to the additional procedures performed. Both services are beneficial to the client, but the level of assurance provided by an audit review is higher than that of a compilation.

The Quick Ratio is an important tool for financial analysis. It is a measure of a company’s liquidity and its ability to pay short-term obligations. It is calculated by dividing a company’s current assets, excluding inventory, by its current liabilities.