Which of the following best describes the occurrence assertion for inventory?
A) Purchase requisitions initiated by authorized personnel.
B) Recorded inventory actually exists.
C) Inventory properly accumulated from journals and ledgers.
D) All inventory is recorded.

Question

Quizplus · Accepted Answer

The occurrence assertion for inventory refers to whether the recorded inventory actually exists. This means that the inventory physically present should match with the inventory recorded in the books. Hence, the best choice that describes the occurrence assertion for inventory is option B - Recorded inventory actually exists. The other options - A, C and D - are not directly related to the occurrence assertion for inventory.

Which of the Following Best Describes the Occurrence Assertion for Inventory