Reference no: EM132880945
Your firm is the auditor of Trent Textiles Ltd, and you are planning your audit work on the stock-take, which will be carried out at the firm's year-end of 31 May 2021.
Trent Textiles manufactures knitted garments, including pullovers. The production process comprises:
(a) Knitting the individual components (e.g., body and arms);
(b) Sewing the components together to form the finished garment;
(c) Cleaning, finishing, pressing and folding the garments;
(d) Packing the garments, ready for dispatch to the customer.
Trent Textiles does not have a perpetual inventory system, so the value of the stock in the accounts is found from the stock-take at the year-end. For management purposes, Trent Textiles carries out a full stock-take every three months. Your permanent file of the company confirms that it has a single factory and no internal audit department. You have been asked by the manager in charge of the audit to suggest the work you will perform at the stages listed above.
Questions.
a. State the work you will carry out prior to the commencement of the stock-take.
b. State the procedures you will check during the stock-take to ensure the company's staff have accurately recorded the stock.
c. State the work you will carry out and the matters you will record at the stock-take.9422
|
What is about the series of cash flows
: What is it about this series of cash flows, when combined with the rest of the given information in this question, that requires the calculation
|
|
What are some recent changes in legislation
: What are some recent changes in legislation and how do these changes influence the way that an administrator would operate within the health care system?
|
|
What amount of gain on recovery should dee company recognize
: Dee Company, As of December 31, 2020, what amount of gain on recovery should Dee Company recognize related to the asset held for sale?
|
|
What is the amount of loss to be recognized by olivia co
: What is the amount of loss to be recognized by Olivia co. in income statement as a result of reclassification? Olivia Co. has building with a cost of 4,000,000
|
|
Case-trent textiles manufactures
: Your firm is the auditor of Trent Textiles Ltd, and you are planning your audit work on the stock-take, which will be carried out at the firm's year-end of 31 M
|
|
How can retailers build top-of-mind awareness
: 1) How can retailers build top-of-mind awareness? Explain and give examples
|
|
How are the other provisions affected
: If the landlord changes or waives off any provision in the lease, how are the other provisions affected
|
|
What is the amount to be reported as the carrying value
: Olivia Co. has a building with cost of 4,000,000. What is the amount to be reported as the carrying value of the building held for sale as of December 31, 2020?
|
|
What amount of non-current asset should vince carter report
: If the sale will extend beyond one year, what amount of non-current asset should Vince Carter report its held for sale property at December 31, 2020?
|