The specific audit objective for the audit of investments, all recorded investments are owned by the reporting entity, relates to the: A) existence or occurrence assertion. B) completeness assertion. C) rights and obligations assertion. D) valuation or allocation assertion. E) presentation or disclosure assertion.

Question

Quizplus · Accepted Answer

The specific audit objective that all recorded investments are owned by the reporting entity relates to the rights and obligations assertion. This assertion concerns whether the entity has the rights to the assets and whether liabilities are the obligations of the entity. In the context of investments, it means verifying that the investments recorded in the financial statements are indeed owned by the entity.

The Specific Audit Objective for the Audit of Investments, all