The control of working capital
13 September 2012
This article deals with auditing, the balance sheet, stocks and work-in-progress.
Stocks and work-in-progress comprise an important element in the control of working capital in many organisations. Stocks are often a significant and material balance sheet item and can often cause problems for the auditor. The auditor must ensure that the audit supports the assertions of completeness, existence, ownership and valuation. It is important to note that...