Question
(a). A company can choose to use a variety of inventory valuation methods under GAAP. Would the use of one certain method require more testing
(a). A company can choose to use a variety of inventory valuation methods under GAAP. Would the use of one certain method require more testing of controls than another method? Why or why not?
(b) Why is a physical count taken under both a perpetual and periodic inventory system?
(c) Do you think the same level of controls are needed for period and perpetual systems?
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The Quality Audit A Management Evaluation Tool
Authors: Charles A. Mills
1st Edition
0070424284, 978-0070424289
