Heavy Manufacturing Company is in the business of making steel plates,forming heavy metal slabs,and drilling and scoring metals.The company recently upgraded many of its forming machines.Five machines were purchased on four different invoices.Unfortunately,one of the invoices was recorded twice,resulting in five invoices being recorded.The general balance-related audit objective affected by this activity is
A)completeness.
B)accuracy.
C)classification.
D)existence.

Question

Quizplus · Accepted Answer

The existence objective is affected because the recording of an invoice twice suggests that there may be an overstatement of assets, indicating that not all recorded transactions actually occurred.

Heavy Manufacturing Company Is in the Business of Making Steel