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

Share capital - audit process, Share Capital - Audit Process Share cap...

Share Capital - Audit Process Share capital is a special type of liability and when it has been issued during the year then verification procedures are as follows: 1. Confirm

Need for an audit, Need for an Audit Whether you take an example for a...

Need for an Audit Whether you take an example for a modern large liability company, such we can clearly differentiate between those who control those funds the providers of fu

Verification of liabilities - audit process, Verification of Liabilities - ...

Verification of Liabilities - Audit Process Usually speaking, the auditor's duty along with regard to liabilities can be summarised follows as: 1. To confirm the existence of

Pension funds, Pension Funds Pension funds are set up by companies or o...

Pension Funds Pension funds are set up by companies or other organizations: (a) To administer the pension payable to retired employees and (b) Ensure that funds are available

Research and development - audit process, Research and Development - Audit ...

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

A test for unrecorded liabilities, should your test for unrecorded liabilit...

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

Ias 20 accounting for government grants and disclosures, IAS 20 Accounting ...

IAS 20 Accounting for Government Grants and Disclosures IAS 20 Accounting for government grants and disclosures of government assistance The auditor needs to verify the

Reserves - audit process, Reserves - Audit Process Movements in reserv...

Reserves - Audit Process Movements in reserves need disclosure in the balance sheet, the loss and profit account, the director's reports or in the notices to the accounts. The

Describe your role in managing a discrete assignment, Describe your role in...

Describe your role in managing a discrete assignmentn..

Framework of critical thinking principles, Framework of critical thinking p...

Framework of critical thinking principles (a) Identify the key steps in this framework/ concept. (b) Briefly explain each of the key steps, in your own words. Ans: Thin

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