Which of the following is an example of the classification and understand ability assertion?
A) Financial and other information is appropriately presented and described, and disclosures are clearly expressed.
B) Transactions and events have been recorded in the correct accounting period.
C) All disclosures that should have been included in the financial statements have been included.
D) Disclosed events and transactions have occurred and pertain to the entity.

Question

Quizplus · Accepted Answer

The assertion of classification and understandability focuses on whether the financial statements are appropriately organized and communicated, with clear and concise disclosures. Option A specifically addresses this assertion by stating that the information is appropriately presented and described, and disclosures are clearly expressed. Options B, C, and D pertain to other assertions such as completeness and occurrence.

Which of the Following Is an Example of the Classification