The auditor is responsible,in the inventory process,for determining
A)only if the ending balance in the balance sheet account is stated in accordance with the applicable financial reporting framework
B)only if the ending balance in the income statement account is stated in accordance with the applicable financial reporting framework
C)only if the beginning balance in the balance sheet account is stated in accordance with the applicable financial reporting framework
D)only if the beginning balance in the income statement account is stated in accordance with the applicable financial reporting framework

Question

Quizplus · Accepted Answer

The auditor is responsible for determining if the ending balance in the inventory account is stated in accordance with the applicable financial reporting framework. This includes verifying the existence and completeness of inventory, as well as its valuation and allocation. The auditor is not responsible for determining the beginning balance in the balance sheet account or the beginning balance in the income statement account, as these are not directly related to the inventory process.

The Auditor Is Responsible,in the Inventory Process,for Determining