Which of these occurrences could account for a difference between the total value of inventory in the accounting records and the total value of inventory as per the stocktake?
A)Cost of sales transactions not recorded in the accounting records.
B)Inventory stolen from the storeroom.
C)Some inventory items not counted in the stocktake.
D)All of the above.

Question

Quizplus · Accepted Answer

Any of these occurrences could account for a difference between the accounting records and the stocktake. Cost of sales transactions not recorded in the accounting records would result in inventory being overstated in the records. Inventory stolen from the storeroom would result in inventory being understated in the records. Some inventory items not counted in the stocktake would also result in inventory being understated in the records. Therefore, all of the above could explain the difference between the total value of inventory in the accounting records and the total value of inventory as per the stocktake.

Which of These Occurrences Could Account for a Difference Between