An auditor tests an entity's control that matches shipping documents to sales invoices before they are recorded in the financial statements as revenue in support of management's financial statement assertion of

Question

Quizplus · Accepted Answer

The control being tested aims to ensure that the sales recorded in the financial statements actually occurred (existence) and that they were made by the entity (occurrence). Therefore, the financial statement assertion being supported is Existence or Occurrence.

An Auditor Tests an Entity's Control That Matches Shipping Documents