Question: warned that they had to remember which inventory had been counted. 4. Information was recorded on the count sheets in pencil so amendments could be

warned that they had to remember which inventory had been counted. 4. Information was recorded on the count sheets in pencil so amendments could be made easily as required. 5. Any inventory not located on the pre-numbered inventory sheets was recorded on separate inventory sheets which were numbered by staff as they were used. 6. At the end of the count, all count sheets were collected and the numeric sequence of the sheets checked; the sheets were not signed

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

AQ a. You are the audit manager in charge of the audit of Lau Limited, which assembles electronic products from parts purchased from over 100 suppliers. On the day of the inventory count, you...

DinZee Co assembles fridges, microwaves, washing machines and other similar domestic appliances from parts procured from a large number of suppliers. As part of the interim audit work two weeks prior...

On the day of the inventory count, you attended depot nine at DinZee. You observed the following activities: 1. Prenumbered count sheets were being issued to client's staff carrying out the count....

2 Question 1 - Inventory PART A 1. Indentify and explain three financial statement assertions that are most relevant to the test of inventory balance. (3 marks) 2. On the day of the inventory count...

Carosel Limited is a specialty motor vehicle parts supplier, procuring parts from a large number of suppliers. As part of the interim audit work four weeks prior to the company year s end, you are...

Attending the Inventory count On the day of the inventory count, you attended site 4 at Carosel. You observed the following activities: Pre - numbered count sheets were being issued to client's staff...

Section 03: Inventory South City is a construction company which builds houses, offices and hotels. Materials (cement, bricks, etc) are purchased from a large number of suppliers. As a member of the...

b) The audit team observed the following activities when they attended the count on March 31, 2016. The count started promptly at 8 am and the team consisted of staff drawn from the warehouse. The...

ATC 14-1 (Pg. 686) 1.(Follow the cash) In a narrative format, answer the questions posed in the case. 2.What is meant by "presentation of financial statement information in common-size amounts rather...

Ethyl alcohol can be bacterially oxidized to acetic acid in the following two-step fermentation sequence: 2 C2H5OH + O2 2 CH3CHO + 2 H2O 2 CH3CHO + O2 2 CH3COOH If the alcohol-containing feedstock...

Metcalf Company incurred an activity cost of $300,000 for inspecting 60,000 units of production. Management determined that the inspecting objectives could be met without inspecting every unit....

Identification takes place when specific goods are designated as the subject matter of a sales or lease contract. True False

Hugo decides to buy his Christmas gifts on Black Friday. To simplify his life, he is giving his 10 closest friends scarves for Christmas and everyone else Christmas cards. Hugo is willing to pay up...