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A Common Test of Details of Balances Procedure for Notes

question 61

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A common test of details of balances procedure for notes payable is to examine duplicate copies of notes to determine whether notes were dated on or before the balance sheet date.Which audit assertion is this test of detail associated with?


Definitions:

Ratification

Ratification is the formal approval or confirmation of an action or agreement, often used in the context of treaties, contracts, or laws.

Promoters

Individuals or companies responsible for establishing a corporation or business venture, including raising capital and completing legal formalities.

Personal Liability

involves an individual's legal responsibility for debts or obligations, potentially affecting personal assets.

Novation

A legal process by which an existing contract or obligation is replaced with a new one, releasing a party from the original agreement.

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