Which of the following audit procedures does not address the rights, presentation and disclosure assertion for pledged, discounted, assigned, and related-party accounts receivable?
A) Review work performed in other audit areas.
B) Inquire of management.
C) Review adequacy of allowance for doubtful accounts.
D) Review loan agreements.

Question

Quizplus · Accepted Answer

Reviewing the adequacy of the allowance for doubtful accounts does not directly address the rights, presentation, and disclosure assertion for pledged, discounted, assigned, and related-party accounts receivable. The other audit procedures - reviewing work performed in other audit areas, inquiring of management, and reviewing loan agreements - all relate to these assertions.

Which of the Following Audit Procedures Does Not Address the Rights