In Many Audits, No Substantive Tests of Transactions Are Made

question 120

Multiple Choice

In many audits, no substantive tests of transactions are made for the ________ assertion on the grounds that understatement of sales is not a concern.

• A) accuracy
• B) existence
• C) completeness
• D) none of the above

---

Definitions:

Availability Heuristic

Bases a decision on recent events relating to the situation at hand.

Past Occurrences

Events or incidents that have taken place before the current moment; historical events or happenings.

Rational Decision Model

A systematic process of making decisions that are logically sound, based on available information and rational analysis.

Rational Decision Model

A decision-making process based on systematically evaluating alternatives, with the goal of selecting the most logical and optimal option.