The auditor uses assertions to
A)structure internal control testing
B)structure analytical procedures
C)verify internal control testing
D)structure substantive testing
E)verify management representations
F)both A and D
G)both C and E

Question

Quizplus · Accepted Answer

Assertions are used to structure substantive testing and provide guidance on the evidence that is required to support the financial statement assertions. Assertions are also used to structure the auditor's understanding of internal control, which is necessary for designing and performing internal control testing. Therefore, the best choice is F, which includes both of these uses of assertions.

The Auditor Uses Assertions to