Which of the following types of evidence is most appropriate in the audit of fixed assets?
A)recalculation of the amortization schedule provided by the client
B)auditor inspection of recently acquired fixed assets
C)reperformance of the posting of depreciation expenses to the general ledger
D)analytical review to assess the reasonableness of depreciation expense

Question

Quizplus · Accepted Answer

Auditor inspection of recently acquired fixed assets is the most appropriate type of evidence in the audit of fixed assets. This evidence involves physically verifying the existence and condition of fixed assets and can also assist in the verification of ownership and valuation. Recalculation of the amortization schedule provided by the client, reperformance of the posting of depreciation expenses to the general ledger, and analytical review are also important types of evidence in the audit of fixed assets, but they may not provide as direct and reliable evidence as auditor inspection of recently acquired fixed assets.

Which of the Following Types of Evidence Is Most Appropriate