Inspection of Assets

Definition: The inspection or count of a tangible asset by the auditor. Also called "physical examination."

Which determinants of persuasiveness$/$reliability are in operation?

What is considered physical examination when auditing fixed assets like a truck: inspection of an invoice,

inspection of title to the truck, and$/$or inspection of the actual truck?

Note: If an object being examined has no inherent value $($e$.$g$.,$ a sales invoice$),$ the evidence is called

documentation.

External Confirmation

Definition: The receipt of a written or oral response from an independent third party verifying the

accuracy of information that was requested by the auditor.

Accounts commonly confirmed: cash, investments, accounts receivable, cash surrender value of life insurance,

loans payable, inventory on consignment or in public warehouse

Which determinants of persuasiveness$/$reliability are in operation?