An auditor's primary concern with identifying related party sales and receivables rests with the presentation and disclosure assertion.

Question

Quizplus · Accepted Answer

The presentation and disclosure assertion ensures that related party transactions are appropriately disclosed in the financial statements, allowing users to assess the impact on the company's financial position and performance. Therefore, the auditor's focus on related party sales and receivables is primarily related to this assertion.

An Auditor's Primary Concern with Identifying Related Party Sales and Receivables