Work in progress, Auditing

Assignment Help:

Work In Progress

What such applies to goods for resale applies uniformly to work in progress even when the items present greater problems of valuation and ascertainment to the auditor and to the directors.  The auditor's investigations will involve:

a) Enquiry into the costing system from such work in progress is ascertained.

b) Enquiry into how really reliable the costing system is. The costing system integrated along with the financial system will be much more reliable since of the discipline of double entry and the inherent checks imposed through external data that as creditors statement.

c) Enquiry into checks such is made as part of the system on statistical data relating inputs of materials and expectations and outputs of products.

d) Enquiry into the system of reporting and inspecting on work done so such allowance is made for rectification and scrapping work.

e) Determining the basis on those overheads are involved in costs and ensuring about this is based on IAS 2.

f) Making enquiry into the basis on as any profit or benefit elements are dealt along with. Profit should be eliminated by work in development.

g) Wherever the organization constructs internally several of its own fixed assets, the auditor must make sure about such items as are within construction at the year finish are not accounted for twice that is in fixed assets and in work in growth.


Related Discussions:- Work in progress

Cash and window dressing - building society, Cash and Window Dressing - Bui...

Cash and Window Dressing - Building Society Cash Possibility of misappropriation and error usually accompany the handling of cash. Building societies transactions towards

Beneficial ownership and existence, Beneficial Ownership and Existence ...

Beneficial Ownership and Existence Existence Existence of buildings and Land is not hard to display. You may even be sitting in such building.  Conversely, the audito

Co-operative societies, Co-operative Societies An audit in this case is...

Co-operative Societies An audit in this case is carried out as a normal audit except you should note that the auditor is appointed by the Commissioner of Co-operatives and alth

Audit risks, People do not plan to fail, they fail to plan. Planning is an...

People do not plan to fail, they fail to plan. Planning is an essential feature of an effective audit. The most effective plan is one that is reduced to writing, outlining the au

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

Key audit areas - building society, Key Audit Areas - Building Society ...

Key Audit Areas - Building Society 1. The auditor must examine the process for checking deeds on receipt from the lawyers to ensure such they are complete in accordance along

management functions and the audit, Describe the management system within ...

Describe the management system within your case study business. Assess the risk of fraud in this business, and suggest methods for detection Management system in this ca

Presentation and disclosure - audit process, Presentation and Disclosure - ...

Presentation and Disclosure - Audit Process Specific presentation involves presentation in accordance along with the suitable IFRS/IAS or International Accounting Standards.

Show the audit work of the given capital project, In planning the audit wor...

In planning the audit work of the Ministry, the audit staff member collected these details relating to the construction of an office complex. 1. In September 1994, the Ministry

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