Stock Audit

A Stock Audit is an examination and verification of a company’s inventory records to ensure accuracy, prevent fraud, and assess the physical condition and valuation of stock.

Ensure Accuracy: Verifies stock quantities and valuation for accurate financial reporting.
Prevent Fraud: Detects discrepancies and fraudulent activities.
Better Control: Optimizes inventory management, reducing wastage.
Compliance: Ensures adherence to accounting standards and regulations.

Overview of Stock Audit

A Stock Audit is a physical verification process of a company’s inventory to ensure that the actual stock on hand matches the stock records. It is commonly required by banks, financial institutions, and internal management to monitor inventory accuracy, detect pilferage or misuse, and maintain financial discipline.

The primary objective of a stock audit is to verify the quantity, condition, and value of inventory, ensuring that the stock figures reported in the books are correct. It helps in identifying discrepancies, improving inventory management, and ensuring better control over assets.

Regular stock audits are crucial for businesses dealing in goods, as they directly impact working capital, profitability, and compliance.

Stock Audit Services We Provide

Physical Verification: Conduct a thorough check of inventory to match records and detect discrepancies.
Stock Valuation: Ensure accurate valuation according to accounting principles.
Reconciliation with Books of Accounts: Matching physical stock with accounting and inventory records.
Inventory Management Review: Evaluate your inventory system for proper tracking and control.
Report Discrepancies: Identify discrepancies and provide recommendations for improvement.
Cost & Profitability Analysis: Analyze how stock impacts cost and profitability, suggesting efficiency improvements.
Compliance Check: Ensure adherence to accounting standards (GAAP, IFRS).
Customized Recommendations: Offer actionable insights to optimize inventory control and reduce shrinkage.