Reference no: EM133731940

Discussion Post: Inventory Management Audit Procedures

I. Inventory management in corporations identifies management's practices, investigate efficient and effective inventory management approaches, and efficient and effective inventory management practices, which are key points for an auditor to ensure evidences for an opinion in the audit report on inventory.

Imagine that you are an auditor of a corporation in KSA and answer the following:

1. Bring out the inventory management process you would follow to check efficient and effective inventory management practices in the corporation.

2. List done the important functions with examples in the inventory management process.

3. Explain the audit tests you would cover with related assertions to get assured evidences

4. Conclude your testing on likely and tolerable misstatements allocated to the inventory account.

II. What are the control purposes and management assertions supported by bank reconciliations?

III. The standard unqualified report is issued when the auditor has gathered sufficient evidence, the audit has been performed in accordance with PCAOB standards, and the financial statements conform to GAAP.

Take an example of a corporation from KSA and explain the important elements necessary for a standard unqualified report issued by an auditor in reporting of financial statements. Give examples on each element.

IV. Briefly explain Assurance Services, Attest services and Trust Services.