The Test of Details of Balance Procedure That Requires the Auditor

question 30

Multiple Choice

The test of details of balance procedure that requires the auditor to perform tests of lower-of-cost-or-market,selling price,and obsolescence is an attempt to satisfy the objective of

• A)existence.
• B)completeness.
• C)accuracy.
• D)valuation.

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Definitions:

Schedule Number

A standardized number that indicates the thickness of pipes in accordance with the American National Standards Institute (ANSI).

Wall Thickness

The measurement of the distance between the inner and outer surfaces of a wall.

Nominal Pipe Thread

A standard for threading where the pipe diameter is not the exact diameter but follows a standardized naming convention.

National Pipe Thread

A U.S. standard for tapered threads used on threaded pipes and pipe fittings, designed to create a tight seal.