Performing Test Counts

Question 1

What should auditors perform?

Answer 1

Test counts to ensure p[rocedures and internal controls are working properly

Question 2

What should auditor do to gain evidence of completeness

Answer 2

Test counts from the inventories to the inventory sheets

Question 3

What should auditor do to prove existence?

Answer 3

Tests counts from inventories from the inventory sheets to the inventories

Question 4

What should tests concentrate on?

Answer 4

High value inventory

Question 5

What if results of test counts are not satisfactory?

Answer 5

Auditors may request that inventory be recounted