Only those adjusting and reclassification entries that significantly affect the fair presentation of financial statements (i.e.material entries)should be documented or summarised in the auditor's working papers.

Question

Quizplus · Accepted Answer

All adjusting and reclassification entries should be documented in the auditor's working papers, regardless of materiality, to ensure a complete audit trail and support the auditor's conclusions.

Only Those Adjusting and Reclassification Entries That Significantly Affect the Fair