An Auditor Is Reviewing the Minutes of Board Meetings to Determine
An auditor is reviewing the minutes of board meetings to determine whether any securities are pledged as collateral.This test of the detail of balances relates to the audit objective of:
C) realizable value.
Determining if the financial instruments included in the schedule of investment activity at year end are stated at appropriate amounts in accordance with accounting standards is the balance-related audit objective of:
B) realizable value.
List two common tests of details of balances procedures the auditor would perform when testing for the balance-related audit objective of realizable value.
The majority of financial instruments are valued at the lower of cost or market.