Answer: Disclosure
By comparing the collateral offered in a loan agreement with the notes to the financial statements, the auditor is pursuing the audit objective of ‘Disclosure’ by ensuring that the proper disclosures have been made with respect to the collaterals offered against the loan.
Advanced Accounting Overall Assessme Question 24 of 46 When an auditor reads loan agreements to search...
when an auditor reads loan agreements to search for any collateral offered, and then compares them to notes made on the financial statements, which of the seven Audit Objectives is being pursued