The American Institute of CPAs auditing standards board issued a proposed Statement on Auditing Standards, Restricting the Use of an Auditor's Report, that provides guidance to auditors on restricted-use reports. A report's use should be restricted to specified parties if
* The subject matter of the report, or the presentation being reported on, is based on measurement or disclosure criteria contained in contractual agreements or regulatory provisions that are not in accordance with generally accepted accounting principles or an other comprehensive basis of accounting.
* The report is based on procedures specifically designed and performed to satisfy the needs of parties who accept responsibility for the sufficiency of the procedures.
* The report is issued as a by-product of a financial statement audit and not to provide assurance on the specific subject matter of the report. Examples are...