In an audit of inventories, an auditor would least likely verify that
A) All inventory owned by the entity is on hand at the time of the count.
B) The entity has used proper inventory pricing.
C) The financial statement presentation of inventories is appropriate.
D) Damaged goods and obsolete items have been properly accounted for.

Question

Quizplus · Accepted Answer

An auditor would least likely verify that all inventory owned by the entity is on hand at the time of the count because it is not always feasible or necessary to have all inventory physically present. Instead, auditors focus on verifying the existence, completeness, and valuation of inventory through sampling and other audit procedures.

In an Audit of Inventories, an Auditor Would Least Likely