What Are Relevant Assertions

question 107

Multiple Choice

What are relevant assertions?

• A)relevant assertions are the assertions related to the income statement or balance sheet account that must be correct if the auditor says the financial statements are correct
• B)relevant assertions are the assertions related to the income statement or balance sheet account that must be correct if the auditor says the financial statements are materially correct
• C)relevant assertions are the assertions related to the income statement or balance sheet account that might be correct if the auditor says the financial statements are materially correct
• D)relevant assertions are the assertions related to the income statement or balance sheet account that should be correct if the auditor says the financial statements are correct

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Definitions:

Long-term Fixed Pricing

A pricing strategy where the seller sets a specific price for a product or service that does not change over a long period, offering stability to both the seller and the buyer.

McClelland's Three Needs

A theory of motivation that highlights three primary needs influencing human behavior: the need for achievement, the need for affiliation, and the need for power.

Maslow's Hierarchy

a psychological theory proposed by Abraham Maslow that categorizes human needs into five levels, from basic physiological needs to self-actualization.

Erikson's Life Stages

A psychological theory proposed by Erik Erikson that describes eight stages of human development, each characterized by a specific conflict that must be resolved for healthy psychological development.