Which of the following management assertions for long-term liabilities is related to completeness?
A)All material long-term liabilities are recorded.
B)Assumption of new long-term liabilities and repayment of debt are properly authorized.
C)Terms,conditions,and restrictions relating to long-term debt are adequately disclosed.
D)Disclosure of five-year repayment schedule and debt maturity dates is accurate and adequate.

Question

Quizplus · Accepted Answer

Completeness assertion ensures that all material transactions and events are recorded in the financial statements. In the case of long-term liabilities, completeness assertion requires that all material long-term liabilities are recorded in the financial statements, including any related interest and other costs. Option A addresses this assertion by stating that all material long-term liabilities are recorded. Options B, C, and D are related to authorization, disclosure, and accuracy, respectively, but do not address the completeness assertion.

Which of the Following Management Assertions for Long-Term Liabilities Is