Which audit procedure is most closely related to management's assertions about the presentation and disclosure of stockholders' equity?

Question

Quizplus · Accepted Answer

Management's assertions about presentation and disclosure involve ensuring that all necessary information is properly presented and disclosed in the financial statements. Determining whether restrictions have been imposed on retained earnings relates directly to the disclosure of stockholders' equity, as such restrictions must be disclosed in the financial statements.

Which Audit Procedure Is Most Closely Related to Management's Assertions