Comfort Letters - Understanding Requirements for CPAs (Course Id 2893)

• Who is this course for?
  This course is intended for anyone needing Continuing Professional Education (CPE), particularly CPAs and accounting professionals who want an overview of comfort letters used in securities offerings.
• What is this course about or what problem does this course solve?
  This course explains the purpose, requirements, limitations, and procedures related to comfort letters, helping participants understand how accountants provide assurance on selected financial information during securities offerings and what they can and cannot comment on.
• Where can the knowledge from this course be used?
  The knowledge from this course can be applied in auditing and financial reporting environments involving securities offerings, underwriter due diligence, audited and unaudited financial information, pro forma financial data, and financial forecasts.
• Why is this course important to a CPA or Accountant?
  This course is important because it helps CPAs and accountants understand the role of comfort letters in supporting underwriter due diligence, the distinction between negative and positive assurance, and the professional responsibilities associated with commenting on financial information.
• When is this course relevant or timely?
  This course is relevant whenever a CPA or accountant is involved in securities offerings, preparing or reviewing financial information included in offering documents, or needs current knowledge of comfort letter requirements and practices.
• How is a course like this consumed or used?
  This NASBA QAS self-study text course is completed independently by reading the course materials, reviewing the content and review questions, and passing the final exam with a score of at least 70% to earn CPE credit.

This course provides an overview of comfort letters in securities offerings. It covers their purpose, the differences between negative and positive assurance, and the procedures for audited, unaudited, and pro forma financial information. The course also reviews handling subsequent changes, capsule information, financial forecasts, and other financial data, emphasizing what accountants can and cannot comment on. By the end, participants will understand how comfort letters support underwriter due diligence and provide assurance on selected financial information.

Course Learning Objectives

Upon completion of this course, you will be able to: