The completeness assertion would be violated if:
A) fictitious sales transactions were included in accounts receivable.
B) the allowance for doubtful accounts was understated.
C) unbilled shipments had occurred during the period.
D) disclosure in the statements of pledged receivables was inadequate.
E) the balance of accounts payable was overstated.

Question

Quizplus · Accepted Answer

The completeness assertion concerns whether all transactions and accounts that should be included in the financial statements are indeed included. Unbilled shipments that occurred during the period but are not recorded violate this assertion because it means revenue and receivables that should be recognized are omitted.

The Completeness Assertion Would Be Violated If