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Hi
I am doing question 114 from BPP revision kit – I was checking my answer from answers given at the back.
There is one point regarding inventory count that client has given 10% warehouse on rent to third party and they have asked in question to put Test of control.
I have written auditor should investigate from GRN that the good received are actually belongs to third part or by them.
and in answer then have mentioned Enquire the count supervisor where the third party inventory is stored, confirm through inspections that these bays are not included in any pre-printed forms.
will i get mark for my answer?ANd one more point is asked in the question that there is hogh value inventory which is stored in secure location, In answer they have mentioned Test of control should be- Auditor should attempt to assess the area where the high value inventory is stored; this should not be done without access code.
My doubt is Attempt is not any test of control? can it be observe the senior team members to count the inventory?Please understand, this forum cannot support questions whether this or that point would earn marks. Perhaps you can find a study buddy to help support you in this.
Regarding your query “Attempt” – a test of control does not have to start with “EIOU” – remember that “U” in the mnemonic comes from compUtation which is substantive but the equivalent in a test of contols is reperformance. You could think of attempt to access as reperforming the access procedure.
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