When a client hands the financial statements to the auditor,he makes the following assertion about the financial statements
A)Existence or occurrence -for classes of transactions
B)Completeness - for account balances
C)Valuation and allocation - for account balances
D)Cutoff - for both classes of transactions and account balances

Question

Quizplus · Accepted Answer

The assertion of Valuation and allocation pertains to account balances and involves ensuring that accounts are recorded at the appropriate value and that related transactions are properly classified and allocated. The other assertions listed are also important for auditors to consider, but they relate to different aspects of the financial statements.

When a Client Hands the Financial Statements to the Auditor,he