Why this is mistaken
A balanced schedule proves only that the supplied inputs were processed consistently. It does not establish derivative scope, hedge qualification, functional currency, control, fair value, legal rights, tax treatment, audit assurance, or filing authority. The correction separates facts verified by the preparer from conclusions supplied by qualified owners. It names the open question, missing evidence, responsible reviewer, and effect on release.
Where to watch
When this mistake may appear
- The workpaper balances, so no escalation is needed.
Check your work
Your work may contain this mistake if:
- Treats supplied conclusions about scope, control, value, or filing authority as conclusions independently proved by arithmetic.