Final answer:
The audit test performed by selecting a sample from the file of shipping documents to determine whether invoices were prepared assesses the assertion of completeness(option b), which ensures all transactions that should have been recorded are in fact recorded.
Step-by-step explanation:
The student's question pertains to an auditor's test of transactions to assess certain assertions related to financial records. Specifically, the auditor selects a sample from the file of shipping documents to determine whether invoices were prepared. This test is performed to assess the assertion of completeness.
Completeness is concerned with whether all transactions that should have been recorded have been recorded. In this context, the auditor is trying to verify that for every shipment made, there is an invoice that corresponds to it, ensuring no shipment has occurred without the corresponding invoice generation. This type of test enforces the completeness of the transaction records.
It is worth noting that while choosing an answer, one should understand the various assertions:
a. Authorization and accuracy refer to whether transactions have been properly authorized and recorded at the correct amounts.
b. Completeness is about whether all transactions that have taken place are actually recorded.
c. Cutoff relates to whether transactions have been recorded in the correct accounting period.
d. Occurrence relates to whether the transactions recorded have actually taken place.