QUESTION 1 0.00000 p Hovington, CPA, knows that while audit objectives relating to inventories may be stated in terms of the assertions as presented in this chapter, they may also be subdivided and stated more specifically, match the best financial statement assertion with the specific audit objective stated below. The entity has legal title to inventories. A. Rights and obligations Recorded inventory quantities included all B. Presentation and disclosure. products on hand. Valuation and accuracy D. Completeness and cutoff - Inventories are reduced, whern appropriate, to replacement cost or net realizable value. Cost of inventories is properly calculated. The major categories of inventories and their basis of valuation are adequately reported in the financial statements Save All Answers