The audit procedure 'observe whether inventory movement takes place during the inventory count' provides assurance mainly for the completeness objective for physical inventory observation.

Question

Quizplus · Accepted Answer

The audit procedure of observing whether inventory movement takes place during the inventory count ensures that all inventory items present during the count have been included and none has been omitted, which is the objective of completeness in physical inventory observation. Therefore, the statement is true.

The Audit Procedure 'Observe Whether Inventory Movement Takes Place During