What is the difference between a review and an audit?

A review is a less intensive evaluation focused on providing limited assurance that financial statements are free from material misstatement, often involving inquiries and analytical procedures without a detailed examination of evidence. In contrast, an audit is a more comprehensive assessment that seeks to provide a higher level of assurance through thorough testing of transactions and internal controls. Audits typically involve a detailed verification of financial records and compliance with accounting standards. Essentially, reviews offer a quicker, less rigorous assessment, while audits provide a deeper, more authoritative evaluation.