For each of the following potential misstatements for inventories, identify a necessary control:
1. Failure to record goods received
2. Unreliable count procedures during a physical inventory count
3. Inappropriate basis for determining inventory costs
4. Unauthorized removal of goods from inventory
5. Insufficient extent of comparison between physical inventory count and inventory records
6. Inadequate investigation and correction of differences between inventory count and inventory records

Question

Quizplus · Accepted Answer

The Answer of For each of the following potential misstatements for inventories, identify a necessary control:
1. Failure to record goods received
2. Unreliable count procedures during a physical inventory count
3. Inappropriate basis for determining inventory costs
4. Unauthorized removal of goods from inventory
5. Insufficient extent of comparison between physical inventory count and inventory records
6. Inadequate investigation and correction of differences between inventory count and inventory records

For Each of the Following Potential Misstatements for Inventories, Identify