What is inventory Inventories are items or assets that are held for selling to customers but not for internal use in business. Inventories are the entity’s assets that report in the financial statements are current assets on the balance sheet. The recognition of inventories in the financial statements of the entity is similar to the […]
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Definition: Physical verification is the procedure the auditor normally performs to confirm the existence of certain physical assets that are recorded in the client’s financial statements. Most of the assets that auditors verified are fixed assets and inventories. The auditor might also use this procedure to confirm the condition of those assets. The physical verification
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Overview: Auditors generally observe the inventory count performed by the client at the end of the year or accounting period. Most of the accounting book is closing at the end of the calendar year, and normally entity performs a full inventory count to assess the actual quantity and calculate the exact amount of inventory closing
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Definition: Current assets are the group of liquidity assets or resources controlled by the entity and have a useful life for less than one year. Some current assets are expected to be used and converted into cash for less than one year. The current assets include petty cash, cash on hand, cash in the bank,
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Definition: Current Assets refer to an entity’s assets that could be converted to or used within a period of less than one year. They are the group of liquid assets that are expected to be used, consumed, or converted into cash within 12 months from reporting date. In the balance sheet, these groups of assets
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History of Just In Time (JIT): Just In Time, called TOYOTA Manufacturing Production System, is part of the Lean Manufacturing Production System. There is a long story before becoming the Just-In-Time that we know today. Eli Whitney first initiated the Just In Time concept in 1799, who had a large contract with the U.S. Army at
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