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Assertions regarding the recognition measurement and presentation of assets liabilities equity income expenses and disclosures in accordance with the applicable financial reporting framework.
Profit and loss assertions. Ie loss CP - SP. There are five profit or loss assertions viz occurrence completeness accuracy classification and cut-off. There are many things here.
Completeness existence and presentation and disclosure are the three audit assertions that we usually have concerns on when we perform the audit of retained earnings and dividends. As expenses relate to the profit and loss statement so audit assertions for expenses are the same as profit and loss statement assertions. All assets liabilities and equity interests that should have been recorded have been recorded.
You are reading this article because you want to know what audit assertions you need to consider whilst conducting an audit of profit or loss statement. Publicly held companies are required to have an audit of their financial statements annually. You are reading this article because you want to know what audit assertions you need to consider whilst conducting an audit of profit or loss statement.
There are five profit or loss assertions viz occurrence completeness accuracy classification and cut-off. Iii profitloss on disposal. Assets liabilities and equity interests exist.
Rights and obligations. In such cases the auditor needs to. Likewise we need to examine these three assertions in the audit procedures for.
Profit Loss on Sale of Operations Cost of Reorganisation Profit Loss on Disposal Other Exceptional Items Profit Loss before Interest Interest Received Interest Paid Paid to Bank Paid on Hire Purchase Paid on Leasing Other Interest Paid Net Interest Profit Loss before Tax Taxation Profit Loss after Tax Extraordinary Items. You are reading this article because you want to know what audit assertions you need to consider whilst conducting an audit of profit or loss statement. Profit or loss statement shows profit or loss for the period.
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