L.Martinez,CPA,was auditing a client,Marvelous Retail Company and selected a sample of inventory items from the perpetual records and vouched additions to receiving reports.This procedure was intended to satisfy which POCAOB assertion?
A)Rights and obligations.
B)Completeness.
C)Existence or occurrence.
D)Valuation or allocation.

Question

Quizplus · Accepted Answer

Vouching additions to receiving reports from perpetual records helps to ensure that the inventory actually exists and occurred in the company's operations, which corresponds to the existence or occurrence assertion of the POCAOB framework.

LMartinez,CPA,was Auditing a Client,Marvelous Retail Company and Selected a Sample