An auditor selects a sample from the file of shipping documents to determine whether invoices were prepared. This test is performed to assess the assertion of
A) Authorization and accuracy.
B) Completeness.
C) Cutoff.
D) Occurrence.

Question

Quizplus · Accepted Answer

Completeness is the assertion that all transactions that should have been recorded have been recorded. The auditor's test of shipping documents is designed to determine whether all invoices have been prepared, which is a completeness assertion.

An Auditor Selects a Sample from the File of Shipping