What does agreed-upon procedures mean on the CPA exam?
Agreed-upon procedures. An engagement where the practitioner performs procedures the parties have specified and reports the findings, expressing no opinion. The user decides what the findings mean.
Defined against AT-C 215.
Which CPA exam sections use agreed-upon procedures?
Agreed-upon procedures appears in the AUD section of the CPA exam.
Related terms
- level of assurance: How much confidence the practitioner expresses.
- further audit procedures: The work done in response to assessed risk: tests of controls and substantive procedures.
- audit procedures: The specific work performed: inspection, observation, inquiry, confirmation, recalculation, reperformance and analytical procedures.
- risk assessment procedures: The audit procedures designed and performed to identify and assess the risks of material misstatement at the financial statement and assertion levels.
- analytical procedures: Evaluations of financial information by studying plausible relationships among financial and nonfinancial data.
- substantive procedures: Work aimed directly at detecting misstatement in a balance or disclosure, as opposed to testing whether a control operated.