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Management Assertions

Management assertions are the assertions by management about the accuracy of the financial statement components. An auditor typically uses these assertions to help guide the type of audit evidence gathered. These assertions are:

Transactions
- Occurrence
- Authorization
- Accuracy
- Completeness
- Cutoff
- Classification

Account Balances
- Rights and Obligations
- Existence
- Completeness
- Valuation and Allocation

Discloures
- Occurence and Rights and Obligations
- Completeness
- Classification and Understandability
- Accuracy and valuation

School Tip:
As a memorization help, think OAACCC, RECV, OCCA for each section.

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