What Are the Two Major Balance-Related Audit Objectives in Testing

question 4

Multiple Choice

What are the two major balance-related audit objectives in testing payroll liabilities?

• A)Accuracy and detail tie-in
• B)Completeness and valuation
• C)Completeness and rights and obligations
• D)Accuracy and cutoff

---

Definitions:

Smoot-Hawley Tariff

A U.S. law enacted in 1930, which raised tariffs on thousands of imported goods, contributing to the severity of the Great Depression by stifling international trade.

International Trade War

A situation where countries impose tariffs or other trade barriers against each other in response to disputes, often leading to reduced trade and economic growth.

Dumping

The practice of selling a product in a foreign market at a price below its production cost or domestic price, often aimed at gaining market share or driving out competition.

Export Subsidy

A governmental policy of providing financial support to domestic producers or exporters to encourage exports, lower their prices in global markets, and enhance competitiveness.