limited review

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Explanation of "Limited Review"

Definition: A "limited review" is a type of service in accounting that checks financial information, but not as thoroughly as a full audit. It gives some confidence to people who want to know if the financial data is reliable, but it doesn’t go into as much detail as an audit would.

Usage Instructions:

• You can use "limited review" when talking about financial statements or reports.
• It is often used by businesses when they need to provide some assurance to investors, banks, or other parties without the time and cost of a full audit.

Example:

• "The company decided to have a limited review of its financial statements this year instead of a full audit because of budget constraints."

Advanced Usage:

• In more formal contexts, you might see it used in phrases like "conduct a limited review" or "engage a firm for a limited review".
• It can also be referred to in discussions about compliance or financial reporting standards.

Word Variants:

• Limited Review Engagement: This refers to the process or contract where a limited review is performed.
• Limited Assurance: This is often used interchangeably with limited review, emphasizing that the assurance provided is not as strong as that of an audit.

Different Meanings:

In a broader context, "limited" can mean restricted or constrained in some way (e.g., limited resources, limited time). However, in the financial context, it specifically refers to the extent of the review being less comprehensive than an audit.

Synonyms:

• Partial review
• Limited assurance engagement
• Financial review

Idioms and Phrasal Verbs:

While there are no specific idioms or phrasal verbs that directly relate to "limited review", you might encounter phrases like: - "To take a closer look" - This means to examine something more carefully, which is somewhat related as a limited review is a careful examination but not as deep as an audit.

Summary:

A "limited review" is an accounting term that indicates a less detailed examination of financial data than a full audit. It provides some assurance about the reliability of the information but is quicker and less costly.

Academic

Noun

1. (accounting) a service (less exhaustive than an audit) that provides some assurance to interested parties as to the reliability of financial data

Synonyms

• review