Question

Balance sheet audit is an audit in which _________.

• A. balance sheet of a number of years are audited
• B. audit is done at the end of the financial year
• C. verification of assets and liabilities is done
• D. all of the above

Answer 1

The correct option is C verification of assets and liabilities is done

Balance Sheet audit is done to list down all the assets and liabilities of the organization on a particular date. This requires the verification of all records related to the items of balance sheet i.e. assets and liabilities.