Agreed Upon Procedures (AUP) engagements involve the performance of specific procedures that have been agreed upon by the practitioner, the engaging party and any intended users. The practitioner reports the factual findings resulting from those procedures without expressing an audit opinion or assurance conclusion.
Nature of Engagement
Key characteristics include:
Procedures are determined and agreed in advance
The report is restricted to the intended users
No opinion or conclusion is expressed on the subject matter
Findings are reported factually as observed
Common Applications
AUP engagements are used for:
Verification of specific financial information
Review of compliance with contractual terms
Examination of particular account balances or transactions
Support for regulatory or internal reporting requirements
Reporting
The report describes the procedures performed and the corresponding factual findings, enabling users to draw their own conclusions.