A quick rundown of assertions and auditing scenarios ...

A quick rundown of assertions and auditing scenarios: 

​Occurrence/Existence -  Do all the assets, liabilities, and equity interests really exist (AU-C 315.A128)?

• Confirm securities and derivative instruments with the holder of the instrument

Accuracy/Valuation - Are all assets, liabilities, and equity interests included in the financial statements at appropriate amounts, & are all correcting valuations recorded (AU-C 315.A128)?

• Obtain aged listing of accounts receivable
• Determine the adequacy of the allowance for doubtful accounts
• Prepaid accounts are stated at the correct amounts
• Test computations of interest expense and amortization to bonds payable

Rights/Obligation - Do the obligations belong to the entity and does the entity control the rights (AU-C 315.A128)?

• Review title and deed on property owned by client

Completeness/Cutoff - ​Have the transactions and events been recorded in the correct accounting period (AU-C 315.A128)?

• Physical inspections show that all new assets have not been added to the ledger
• Review year-end cut-off of sales transactions
• All sales have been recorded
• Perform a search for the unrecorded liabilities