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the following r three statements and we hv to choose the correct assertion for these out of accuracy, completeness and occurence
1-Review the treatment of a sample
of post-year-end returns
2-Select a sample of goods despatch
notes and agree to invoices in the
detailed sales listing
3-Select a sample of invoices from
the detailed sales listing and agree
to goods despatch notesi did not understand these plz help me
also how is mathcing gdn with invoice and matching invoice with gdn different? im talking about statement 2 nd 3The “direction” of 2 is from goods movement (out) to a sales invoice, which from the sales listing will be recorded in the books. From “source” to “inclusion in the FS” is the direction of testing for the completeness assertion (if a sales invoice were to be missing, revenue in the FS would be incomplete).
The “direction” of 3 is the opposite. Recorded revenue asserts that sales occurred – tracing “back” to source confirms that goods were, in fact, despatched.
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