________ Is a Balance-Related Audit Objective That Is Not Applicable

question 6

Multiple Choice

________ is a balance-related audit objective that is not applicable to liabilities.

• A) Existence
• B) Accuracy
• C) Detail tie-in
• D) Realizable value

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Definitions:

Negotiable

Referring to something that can be discussed or altered through negotiation, such as terms of a contract or a financial instrument.

Expansionary Gap

A situation where the total demand in an economy exceeds its potential output, leading to inflationary pressures.

Recessionary Gap

A situation in which the real GDP is lower than the potential GDP, leading to unemployment and underutilized resources.

Supply Shock

A supply shock is an unexpected event that suddenly changes the supply of a product or commodity, leading to sudden changes in its price.