During a Client's Stocktake You Select a Sample of Items

question 16

Multiple Choice

During a client's stocktake you select a sample of items from the floor, count them and trace the quantities to the inventory summary sheet.Which financial report assertion is this audit procedure related to?

• A)Valuation and allocation.
• B)Rights and obligations.
• C)Completeness.
• D)Existence.

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Definitions:

Service Department

A segment within an organization that does not directly produce goods but supports other departments by providing services.

Pediatrics Department

A specialized medical department focused on the care, diagnosis, and treatment of infants, children, and adolescents.

Employee Hours

Employee hours track the amount of labor time worked by employees, used for payroll, scheduling, and operational efficiency analyses.

Square Feet

A unit of area measurement used primarily in the United States, equal to the area of a square with sides of one foot.