The specific account balance audit objective, the entity owns or has rights to all recorded plant assets at the balance sheet date, relates to the: A) rights and obligations assertion. B) completeness assertion. C) existence or occurrence assertion. D) valuation or allocation assertion. E) presentation or disclosure assertion.

Question

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The specific account balance audit objective mentioned relates to the rights and obligations assertion because it concerns verifying that the entity has legal rights to or owns the plant assets recorded as of the balance sheet date. This assertion ensures that assets are not overstated and are rightfully the entity's property.

The Specific Account Balance Audit Objective, the Entity Owns or Has