Which of the following management assertions is an auditor most likely testing if the audit objective states that all inventory on hand is reflected in the ending inventory balance?
A)The entity has rights to the inventory.
B)Inventory is properly valued.
C)Inventory is properly presented in the financial statements.
D)Inventory is complete.

Question

Quizplus · Accepted Answer

The audit objective is focused on ensuring that all inventory on hand is included in the ending balance, which relates to the completeness assertion. The other options relate to different management assertions, such as rights and obligations (A), valuation (B), and presentation and disclosure (C).

Which of the Following Management Assertions Is an Auditor Most