If the inventory is material to the financial statements,the auditing standards require the auditor to obtain sufficient appropriate evidence regarding the existence and condition of inventory by
A)observing physical inventory
B)performing audit procedures over the company's final inventory to determine whether they accurately reflect the actual inventory count results
C)performing audit procedures over the company's interim inventory to determine whether they accurately reflect the actual inventory count results
D)performing audit procedures over the company's final inventory to determine whether they accurately reflect the estimated inventory count results
E)taking the physical inventory
F)both A and B
G)both B and D
H)both D and E

Question

Quizplus · Accepted Answer

The auditing standards require the auditor to observe physical inventory and perform audit procedures over the company's final inventory to determine whether they accurately reflect the actual inventory count results. This combination choice is given in option F, which is the correct answer. The other options are either incomplete statements or incorrect statements.

If the Inventory Is Material to the Financial Statements,the Auditing