We have compiled, from information you provide, the [monthly, quarterly, or other
frequency] financial statements of XYZ Company as of and for the year ended
December 31, 20XX.
The objective of a compilation is to assist you in presenting financial infor-
mation in the form of financial statements. We have utilized information that is
your representation without undertaking to obtain or provide any assurance
that there are no material modifications that should be made to the financial
statements in order for the statements to be in conformity with [the applica-
ble financial reporting framework (for example, accounting principles generally
accepted in the United States of America)].
You are responsible for
a. the preparation and fair presentation of the financial statements
in accordance with [the applicable financial reporting frame-
work (for example, accounting principles generally accepted in the
United States of America)].
b. designing, implementing, and maintaining internal control rel-
evant to the preparation and fair presentation of the financial
c. preventing and detecting fraud.
d. identifying and ensuring that the entity complies with the laws
and regulations applicable to its activities.
e. making all financial records and related information available to
We are responsible for conducting these statements in accordance with State-
ments on Standards for Accounting and Review Services issued by the American
Institute of Certified Public Accountants.
This compilation differs significantly from a review or an audit of financial state-
ments. A compilation does not contemplate performing inquiry, analytical pro-
cedures, or other procedures performed in a review. Additionally, a compilation
does not contemplate obtaining an understanding of the entity's internal con-
trol; assessing fraud risk; testing accounting records by obtaining sufficient
appropriate audit evidence through inspection, observation, confirmation, or
the examination of source documents (for example, cancelled checks or bank
images); or other procedures ordinarily performed in an audit. Accordingly, we
will not express an opinion or provide any assurance regarding the financial
statements being compiled.
These statements cannot be relied upon to disclose errors, fraud, or illegal acts.
[Signature of accountant]