We provide a full range of financial statement and assurance services.
From the most intensive to the least, we offer the following financial statement services:
Audited Financial Statements
An audit is the highest level of assurance a CPA can provide. Extensive testing of account balances and other assertions contained within the financial statements are performed. An in-depth understanding of the entity and the internal control environment are obtained. All audit services are performed in accordance with auditing standards generally accepted in the United States of America (GAAS). The goal of an audit is the issuance of an independent audit report giving reasonable assurance that the financial statements are free of material misstatements and that the financial statements are in conformity with accounting principles generally accepted in the United States of America (GAAP), or another comprehensive basis of accounting (OCBOA).
The audit of a retirement plan requires specialized knowledge and attention. Recent studies by the Department of Labor indicate that many plan audits are being submitted with significant errors and issues. For this reason, more than ever before companies are focusing on finding a provider that offers the highest level of quality and care in the process. Hanson & Company focuses on providing retirement plan audits to plan sponsors across Colorado. We work with emerging single employer 401k plans with 125 participants to established multi-employer plans with thousands of participants.
Reviewed Financial Statements
A review is less intensive than an audit. Analytic tools and inquiries of management are the primary activities performed, along with obtaining an understanding of the entity and the components of the financial statements. All review services are performed in accordance with the Statements on Standards for Accounting and Review Services (SSARS). The goal of a review is the issuance of an accountants report providing limited assurance that there are no material misstatements in the financial statements and stating that the CPA is not aware of any material modifications that should be made to the financial statements in order for them to be in conformity with GAAP or OCBOA.
Compiled Financial Statements
A compilation is the least intensive financial statement service available through a CPA and the only attest engagement that can be performed by a CPA that is not independent with respect to the client. A compilation does not involve any assurance or testing of the financial statements but involves presenting financial information provided by the client in the form of financial statements that are in conformity with GAAP or OCBOA.
In addition to the services provided above, Hanson & Co. performs a broad scope of individually tailored agreed-upon procedures assurance services. An agreed-upon procedures engagement involves outlining with the client specific procedures within an entity which the CPA will test and issue an opinion on. Due to the open-ended nature of such an engagement, the scope and objectives of the testing to be performed are clearly identified and communicated prior to starting the project. Agreed-upon procedures engagements may range from fraud audits, to limited tests of controls, to operational procedures testing.
The financial vitality of many Denver businesses has come into question since the implementation of COVID-19 prevention orders. Many have been forced to change their business model or completely shut down to maintain compliance.
An additional boost came when President Trump signed the Coronavirus Aid, Relief and Economic Security (CARES) Act, comprehensive relief which provides $2 trillion in tax relief, business loans, unemployment and more.
March is typically when Denver companies are focused on finalizing tax returns and reviewing financial reports leading to the end of the first quarter. However, rather than focusing on these tasks, many management teams are reacting to Coronavirus (COVID-19).