An example of a substantive test always performed for costs and expenses is obtaining
detailed analysis of selected accounts and tracing the details to the source data.

Question

Quizplus · Accepted Answer

This is a common substantive test performed for costs and expenses to ensure the accuracy and completeness of financial statements. It involves selecting certain accounts and verifying the details by tracing them back to their original source documents.

An Example of a Substantive Test Always Performed for Costs