Assess the risks of Material Mistatement

Question 1

Management Assertions

Answer 1

Completeness
CutOff
Valuation, Allocation, Accruacy
Existence and Occurance
Rights and Obligations
Understandability and Classification

Question 2

List the Relevant Assertions for Transactions and events (CARE)

Answer 2

Completeness
Cutoff
Classification
Accuracy
Occurence

Question 3

List the Relevant Assertions for Account Balances (CPACO)

Answer 3

Completeness
Valuation and Allocation
Existence
Rights and Obligations

Question 4

List the Relevant Assertions for Presentation and Disclosure (CURV)

Answer 4

Completeness
Valuation and Accuracy
Rights and Obligations
Understandability and Classification

Question 5

Completeness

Answer 5

Everything that should have been recorded is recorded

NO Understatement

Question 6

Existence and Occurance

Answer 6

Balances exist

No OVERSTATEMENT

Question 7

Transaction Process

Answer 7

Events/Transactions > Source Documents > Journal > Subledger > General Ledger >Trial Balance > Financial Statements

Question 8

Management’s Assertions under PCAOB

Answer 8

Same as regular assertions except no Cutoff, No Accuracy and no Understandability and Classification.

Does include Presentation and Disclosure