The Financial Statements of an Organization Reflect a Set of Management

question 57

Multiple Choice

The financial statements of an organization reflect a set of management assertions about the financial health of the business.All of the following describe types of assertions except

• A)that all of the assets and equities on the balance sheet exist
• B)that all employees are properly trained to carry out their assigned duties
• C)that all transactions on the income statement actually occurred
• D)that all allocated amounts such as depreciation are calculated on a systematic and rational basis