When auditing PP&E, the auditor's approach is generally to
A)examine evidence supporting the amounts in the ending balance.
B)examine evidence supporting additions during the year.
C)follow a reliance strategy, testing internal controls and analytical procedures.
D)concentrate on finding unrecorded assets.

Question

Quizplus · Accepted Answer

Auditors typically focus on examining evidence supporting additions during the year to ensure that all capital expenditures are properly recorded and that the PP&E balance is accurate.

When Auditing PP&E, the Auditor's Approach Is Generally to