Which of the following controls is not a typical internal control over fixed assets?
A) Reconcile physical inventory with the property ledger.
B) Periodically reassess the appropriateness of depletion categories.
C) Identify obsolete or scrapped equipment and write it down to scrap value.
D) Periodically review management strategy and systematically assess the impairment of assets.

Question

Quizplus · Accepted Answer

Periodically reassessing the appropriateness of depletion categories is a control related to natural resources assets (such as oil, gas, or timber), not fixed assets. The other controls (reconciling physical inventory, identifying obsolete or scrapped equipment, reviewing management strategy and assessing assets impairment) are typical internal controls over fixed assets.

Which of the Following Controls Is Not a Typical Internal