Which of the PCAOB Assertions (A-E)are Best Verified by the Following

question 62

Short Answer

Which of the PCAOB assertions (A-E)are best verified by the following audit procedures (1-4)?
A.Existence or occurrence
B.Rights and obligations
C.Valuation or allocation
D.Completeness
E.Presentation and disclosure
1.Confirming inventory held on consignment by the client with independent third party.2.Consulting the Wall Street Journal for year-end prices of securities held by the client.3.Physically examine all major property and equipment additions.4.Review the aged trial balance for significant past due accounts.

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Definitions:

Situational Timing

involves understanding the importance of when to perform an action or make a decision within a given context.

Information Overload

Information overload describes a state where an individual is exposed to more information than they can effectively process, leading to overwhelming feelings or decision paralysis.

Proxemics

The study of how humans use space and distance in communication, including personal territory and physical proximity in interactions.

Physical Space

The physical environment or the tangible, external surroundings where human activities occur.