auditing tut6
9.19 Assertions
Background information
Existence or occurrence:
-assets or liabilities of the entity exist at a given date and whether recorded transactions or events have occurred during the period
Completeness:
-transactions, events and accounts that should be presented in the financial statement are included
Cut-off
-all transactions, events and accounts have been recorded in the correct period
Right and obligations:
-assests represent rights of the entity and liabilities are the obligations of the entity at a given date
Valuation and allocation:
-assest, liability, components have been included in the financial statement at the appropriate amounts
Accuracy:
-transactions have been appropriately recorded in the proper accounts
Presentation and disclosure:
-particular components of the financial statements are properly classified, described and disclosed
1. Non-current assets are not valued greater than recoverable amount in accordance with an applicable accounting standard.
• Account balance
• Valuation and allocation
• Assets, liabilities, and equity interests exist are including in the financial report at appropriate amount, and any resulting valuation or allocation adjustments are appropriately recorded.
2. All non-current assets were on hand at year-end.
• Classes of transactions and events
• Existence
• Non-current assets included in the financial statement physically exist
3. Non-current assets include all purchases made during the financial year.
• Classes of transactions and events
• Occurrence, completeness
• assets or liabilities of the entity exist at a given date and whether recorded transactions or events have occurred during the period
• all assets, liabilities and equity interests that should have been recorded have been recorded
4. Mortgages over non-current assets are properly disclosed in the financial statements
• presentation and disclosure
• classification and understand ability
• particular components
Background information
Existence or occurrence:
-assets or liabilities of the entity exist at a given date and whether recorded transactions or events have occurred during the period
Completeness:
-transactions, events and accounts that should be presented in the financial statement are included
Cut-off
-all transactions, events and accounts have been recorded in the correct period
Right and obligations:
-assests represent rights of the entity and liabilities are the obligations of the entity at a given date
Valuation and allocation:
-assest, liability, components have been included in the financial statement at the appropriate amounts
Accuracy:
-transactions have been appropriately recorded in the proper accounts
Presentation and disclosure:
-particular components of the financial statements are properly classified, described and disclosed
1. Non-current assets are not valued greater than recoverable amount in accordance with an applicable accounting standard.
• Account balance
• Valuation and allocation
• Assets, liabilities, and equity interests exist are including in the financial report at appropriate amount, and any resulting valuation or allocation adjustments are appropriately recorded.
2. All non-current assets were on hand at year-end.
• Classes of transactions and events
• Existence
• Non-current assets included in the financial statement physically exist
3. Non-current assets include all purchases made during the financial year.
• Classes of transactions and events
• Occurrence, completeness
• assets or liabilities of the entity exist at a given date and whether recorded transactions or events have occurred during the period
• all assets, liabilities and equity interests that should have been recorded have been recorded
4. Mortgages over non-current assets are properly disclosed in the financial statements
• presentation and disclosure
• classification and understand ability
• particular components