When Testing the Completeness Assertion for a Liability Account, an Auditor

question 56

Multiple Choice

When testing the completeness assertion for a liability account, an auditor ordinarily works from the:

• A)financial statements to the potentially unrecorded items.
• B)potentially unrecorded items to the financial statements.
• C)accounting records to the supporting evidence.
• D)trial balance to the subsidiary ledger.

---

Definitions:

Biological Model

A representation of a biological process or system, often using mathematical equations or computer simulations, to study complex phenomena in biology.

Positive Feedback Loop

A process where the output of a system amplifies the initial condition, leading to an even greater output in a self-reinforcing cycle.

Negative Feedback Loop

A regulatory mechanism in which a system responds in a way that reverses the direction of a change, helping to maintain stability or equilibrium.

Mathematical Models

Quantitative representations of real-world phenomena constructed using mathematical language and symbols to predict or analyze behavior and events.