Existence - plant and machinery, Auditing

Assignment Help:

Existence - Plant and Machinery

However this should generally be checked through physical inspection, so a problem arises.  Items of machinery and plant can be numerous mobile, valuable and portable.  Therefore it becomes difficult for the auditor to be assured which the value attached to machinery represents plant and plant machinery which usually exists for the balance sheet date.  Therefore we shall digress a little and think about a record which is crucial in surly the existence of fixed assets within this type and this is the fixed assets register.

The fixed asset register is an essential independent register such auditors invariably encourage their clients to continue. Since it to be a truly independent registers that the person maintaining it should have no task for:

a) Authorizing or ordering the purchase of fixed assets.

b) The custody of the fixed assets.

c) Authorizing the disposal of fixed assets.

d) Maintaining common ledger accounts.

e) Custody of readily possible assets.


Related Discussions:- Existence - plant and machinery

Process to adopt liabilities, Process to Adopt Liabilities It is signi...

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

.audits, distinguish between early audits and modern audits

distinguish between early audits and modern audits

Verification procedures - investment, Verification Procedures - Investment ...

Verification Procedures - Investment Verification actions should follow the common approach outlined in favor of tangible noncurrent assets. Conversely the following particula

Contingencies and provisions, Contingencies and Provisions (i) Receive...

Contingencies and Provisions (i) Receive the client's schedule of provisions and seek and contingencies supporting documentation in the form of legal opinions, correspondence

Initial identification - intangible asset, Initial Identification - Intangi...

Initial Identification - Intangible Asset Subsequent to initial identification, an intangible asset is carried at: a) Cost, less any accumulated amortization and any accumu

#TITLE, WHAT OF COST OF JOURNAL ENTRY?

WHAT OF COST OF JOURNAL ENTRY?

Deposits and share - building society, Deposits and Share - Building Societ...

Deposits and Share - Building Society Shares may make of subscription shares and paid up shares. Interest on shares might be credited to ensure specific control to the account

Sundry debtors and loans, Sundry Debtors and Loans Sundry debtors and ...

Sundry Debtors and Loans Sundry debtors and loans are not generally material assets of companies another than those companies whose business is to create loans.  We shall cons

Evaluate the audit risk faced by each department, Problem: You are an a...

Problem: You are an auditor of a company which operates three large departmental stores at Grand Bay, Port Louis and Tamarin. You are preparing your audit plan and you are p

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd