Compilation reports are generally used in situations where company or entity management does not believe that a higher degree of assurance is needed.  The Compilation is generally the least costly of the financial statement reports.  Many times, this is used in situations where a report is only used by management or the owner(s).  

The Financial Statement Compilation Report may include several paragraphs, including: A compilation is limited to presenting in the form of financial statements information that is the representation of management (the owner).  We have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or any other form of assurance on them.