Auditor''s duties - audit of current assets, Auditing

Auditor's Duties - Audit of Current Assets

The auditor's duties can be summarized as follows:

a) The accounting ascertaining policies adopted through the entity for pricing stocks;

b) Such as the guiding standard on stocks is IAS 2 inventories, so the auditor has to seem the appropriateness of the policies choose through the organization.  You should notice that corresponding to IAS 2:

  1. The lower of cost and total realizable price is obligatory.  A FIFO or weighted average price is used to assign prices.
  2. The cost would where suitable conclude a proportion of manufacture overheads where or not they vary on a time basis.  The proportion concluded should be based upon the general level of activity.
  3. Whether identical models are purchased or made at different periods and hence have differing costs the technique of arriving at cost must be FIFO, weighted average

c) The auditor should test verify the stock sheets or the continuous stock records along with relevant documents that as costing and invoices records to check whether cost has been correctly arrived for.

d) The auditor must analysis and tests the treatment of overheads.

e) The auditor should test the examination and treatment the offered able evidence for models valued at total realizable price.

f) The auditor should check the arithmetical accuracy of the estimates made.

g) The auditor should check and confirm the consistency along with such the amounts have to be computed.

h) The auditor must seem the adequacy of the description utilized in the accounts and the accounting policies adopter's discolors.

Posted Date: 1/25/2013 2:59:22 AM | Location : United States

Related Discussions:- Auditor''s duties - audit of current assets, Assignment Help, Ask Question on Auditor''s duties - audit of current assets, Get Answer, Expert's Help, Auditor''s duties - audit of current assets Discussions

Write discussion on Auditor''s duties - audit of current assets
Your posts are moderated
Related Questions
What are Objectives Of Internal Audit? Ans) The purpose of internal audit is to remain proper control over business activities. When there is proper control there is maximum eff

Authoritative Document is IAS 17 Leases The suitable technique of amortization or depreciation to require in the case of leasehold property and freehold buildings is straight-

should your test for unrecorded liabilities be affected by the fact that a letter is obtained in which a responsible management official certifies that to the test of his knowledge

Dealings with Directors and Other Parties - Sundry Debtors and Loans Dealings along with directors and other related parties: The auditor's duties are follows as: i. The revi

Judgmental Sampling The Judgement sampling is where, auditor using his own experience and awareness of the client's business and situations selects the sample to be tested with

Research and Development - Audit Process The past of business is littered along with cases of companies which have collapsed as a convulsion of over indulgence in discover and

Process to Adopt Liabilities It is significant that the auditor realises which such liabilities can exist and he should obtain reasonable steps to unearth them whether they ex

discuss the factors affecting the sufficiency of audit evidence

Management Representations as a Source of Audit Evidence International Standard on Auditing as abbreviated ISA 580 Management Representations gives guidance and standards on t

Fitri, a sole proprietor in pulic practice, plans to establish a separate department that will provide internal audit service to his audit clients.