The tests of details of balances procedure which requires the auditor to examine duplicate copies of loans for authorisation is an attempt to satisfy the audit objective of:
A) existence.
B) classification.
C) completeness.
D) accuracy.

Question

Quizplus · Accepted Answer

The objective of the tests of details of balances procedure which requires the auditor to examine duplicate copies of loans for authorization is to ensure the existence of the loans. The auditor is verifying that the loans actually exist, and the duplicates are legitimate and authorized. Therefore, the correct answer is existence.

The Tests of Details of Balances Procedure Which Requires the Auditor