Apart from Internal Audit or Statutory Audit, we carry out Stock Audit on behalf of banks and other financial institutions to ensure that the collateral against which funds are lent by the bank to the clients is valued correctly. We follow various stock (inventory) audit procedures subject to size and complexity like physical count, adequacy of sample size, confirmation from other locations, due consideration to high value items, inventory count to the general ledger, inventory check in transit, review of cost (material cost, labour cost, carriage in-ward costs, overhead cost), compare with market rate, valuation of finished goods, application of inventory valuation systems (FIFO, LIFO) etc.
 

We also evaluate procurement process, analyze supply and demand situation, re-ordering level, identify slow moving items, related internal controls etc.