Controls over approving credit will enable management to make a more reliable estimate of the size of Allowance for Uncollectible Accounts needed. This control relates to the completeness assertion.

Question

Quizplus · Accepted Answer

Controls over approving credit primarily relate to the valuation or allocation assertion because they help ensure that the Allowance for Uncollectible Accounts is accurately estimated and reflects the expected uncollectible amounts, rather than directly relating to the completeness assertion, which concerns whether all transactions and accounts that should be recorded have been recorded.

Controls Over Approving Credit Will Enable Management to Make a More