1. The two tables below note various assertions about transactions and events. State one key assertion for each of these transactions and events. (3 marks)

	Transaction or event	Key Assertion
i.	Transactions and events that have been recorded and pertain to the entity.
ii.	All transactions and events that should have been recorded have been recorded.
iii.	Transactions and events have been recorded in the correct accounting period

(b) This table notes various assertions about account balances. State one key assertion for each of these transactions and events. (3 marks)

	Transaction or event	Key Assertion
i.	Assets, liabilities, and equity interests exist.
ii.	Assets, liabilities, and equity interests are included in the financial statements at appropriate amounts, and any resulting valuation adjustments are appropriately recorded.
iii.	The entity holds or controls the rights to assets, and liabilities are the obligations of the entity.

(c) From an auditors perspective explain the link between tests of controls and substantive testing.

d) What is the logic behind the above-mentioned link?