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Title: In many audits of sales transactions substantive tests of transactions can be reduced in determining ... Post by: remy2012 on Aug 1, 2022 In many audits of sales transactions substantive tests of transactions can be reduced in determining the completeness objective because
▸ understatements of assets and income are a greater concern than overstatements. ▸ overstatements of assets and income are a greater concern than understatements. ▸ it doesn't matter if income is understated because the savings on income tax offsets the reduced revenue and net income is correct. ▸ the unrecorded sales cause a reduction of accounts receivable; therefore, the ratios of the two financial statements will not be misleading. Title: In many audits of sales transactions substantive tests of transactions can be reduced in determining ... Post by: jordankites45 on Aug 1, 2022 Content hidden
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