When evaluating financial statements, what is the designation of a statement that has been checked by a CPA but not independently audited?

The designation of a statement that has been checked by a CPA but not independently audited is referred to as "reviewed." A reviewed financial statement indicates that a CPA has performed limited procedures to ensure that the financial statements are presented fairly in accordance with the applicable financial reporting framework. This process is less comprehensive than an audit, which includes detailed examinations and tests of the financial statements.

When a statement is reviewed, the CPA offers a certain level of assurance, but it is not as high as that provided by an audit. The key distinction lies in the depth of the examination; audits involve extensive verification of financial data and internal controls, while reviews are more about inquiry and analytical procedures.

The term "audited" relates to a more thorough and comprehensive examination, which is not applicable in this case as it denotes a full audit. "Certified" can imply that a CPA has rendered a formal opinion on the financial statements, which again suggests a level of assurance beyond what is achieved in a review. "Unaudited" simply means that no audit has been performed, but it does not convey the fact that a review has taken place.

Thus, "reviewed" is the appropriate designation for a statement that has undergone a limited check by a CPA without a full audit