Short-Form Report

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DEFINITION of 'Short-Form Report'

A brief summary of an audit that has been performed. The short-form report describes the scope of the audit (what financial statements the auditor has examined) and the findings of the audit (whether the reports appear to be accurate). A short form may be used in conjunction with a more detailed long form or complete auditor's report.

BREAKING DOWN 'Short-Form Report'

The short-form report usually consists of only two paragraphs and includes the auditor's official opinion (unqualified, qualified, disclaimer or adverse) of the financial statements reviewed. One advantage of a short-form report is that it saves money because it takes the auditor less time to prepare. However, its brief length may not be sufficient to provide all desirable information if the auditor issues any opinion other than "unqualified."

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