Question

______is a process by which the auditor satisfies himself about the actual existence, possession and ownership of the assets and process of _________includes valuation as well.

• A. Verification, verification
• B. Vouching, vouching
• C. Verification, vouching
• D. None of the above.

Answer 1

The correct option is A Verification, verification

Audit is the process of verifying the books of account along with the available documentary evidence to make sure that no fraud exist and financial statement are showing true and fair view of the organization.

Asset verification is also part of audit. Auditor need to ensure the physical verification of assets in respect to physical existence, possession and ownership along with the valuation of assets.