Inquiries of warehouse personnel concerning possible obsolete or slow moving inventory items provide assurance about the ASB balance assertion of:
A)completeness.
B)existence.
C)presentation.
D)valuation.
E)rights and obligations.

Question

Quizplus · Accepted Answer

Inquiries about obsolete or slow-moving inventory provide evidence about the valuation assertion. This assertion relies on whether the inventory is stated at the lower of cost or net realizable value. If inventory items are identified as obsolete or slow-moving, this indicates that they may not be worth their original cost and may need to be written down in value.

Inquiries of Warehouse Personnel Concerning Possible Obsolete or Slow Moving