When a sample of sales transactions recorded in the sales journal is traced back to the customer orders and shipping documents,the auditor is testing the ____________ assertion.
A) cutoff
B) authorization
C) completeness
D) occurrence

Question

Quizplus · Accepted Answer

When the auditor traces the sales transactions back to customer orders and shipping documents, they are testing whether the sales actually occurred, which is a key assertion under the occurrence assertion. This allows the auditor to ensure that the sales recorded in the sales journal actually represented real transactions that took place with customers.

When a Sample of Sales Transactions Recorded in the Sales