Management's disclosure of the amount of unfunded pension obligations and the assumptions underlying these amounts is an example of the ________ assertion.
A) completeness
B) existence
C) accuracy and valuation
D) rights and obligations

Question

Quizplus · Accepted Answer

Management's disclosure of the amount of unfunded pension obligations and the assumptions underlying these amounts falls under the accuracy and valuation assertion. This assertion ensures that the financial statements are accurate and reliable and that the amounts reported for assets, liabilities, revenues, and expenses are properly valued. Disclosure of the assumptions used to calculate the unfunded pension obligations is important for users to assess the reasonableness of the reported amounts.

Management's Disclosure of the Amount of Unfunded Pension Obligations and the Assumptions