Are you up to speed on the requirements for auditing inventory? This course is designed for individuals who would like to obtain a better understanding of auditing inventory. We will review audit procedures for auditing inventory values, review the inventory valuation methodologies and discuss auditing the notes to the financial statements under GAAP and per the SEC requirements for public companies. We will discuss auditing estimated inventory for clients using the Gross Profit Method and Retail Inventory Method. We will discuss audit procedures that would allow the auditor to detect a material misstatement in the accounts from errors or fraud, and review common red flags for inventory fraud.
Publication Date: February 2023
Designed For
CPAs, CMAs, CGMAs, internal auditors, CIAs, external auditors, managers, CFOs and others responsible for inventory.
Topics Covered
- Audit procedures for auditing inventory values
- Inventory valuation methodologies
- Auditing the notes to the financial statements under GAAP and per the SEC requirements for public companies
- Auditing estimated inventory for clients using the Gross Profit Method and Retail Inventory Method
- Audit procedures that would allow the auditor to detect a material misstatement of the accounts
Learning Objectives
- Identify inventory valuation methodologies
- Identify inventory audit procedures
- Recognize types of inventory fraud
- Describe the term used to designate inventory that has been misappropriate
- Describe a substantive test
Level
Intermediate
Instructional Method
Self-Study
NASBA Field of Study
Auditing (2 hours)
Program Prerequisites
Completion of the Introduction to Auditing webinar or similar experience in auditing.
Advance Preparation
None
Instructor
Robert K Minniti
DBA, CPA, CFE, Cr.FA, CVA, MAFF, CFF, CGMA, PI
Dr. Minniti is the President and Owner of Minniti CPA, LLC. Dr. Minniti is a Certified Public Accountant, Certified Forensic Accountant, Certified Fraud Examiner, Certified Valuation Analyst, Certified in Financial Forensics, Master Analyst in Financial Forensics, Chartered Global Management Accountant, and is a licensed private investigator in the state of Arizona.
Dr. Minniti received his doctoral degree in business administration from Walden University, received his MBA degree and Graduate Certificate in Accounting from DeVry University’s Keller Graduate School of Management, and received his Bachelor of Science in Business Administration degree from the University of Phoenix. Dr. Minniti taught graduate and undergraduate courses in forensic accounting at DeVry University, Grand Canyon University, Kaplan University, Northwestern University, and the University of Phoenix. He designed graduate and undergraduate courses for Grand Canyon University, Northwestern University, and Anthem College.
He is a writer and public speaker. He has experience in forensic accounting, fraud examinations, financial audits, internal audits, compliance audits, real estate valuations, business valuations, internal control development, business continuation planning, risk management, cyber security, privacy laws, data security, Sarbanes-Oxley compliance work and business consulting. In addition to his practice Dr. Minniti is an instructor teaching continuing professional education classes for a variety of providers and CPA Societies.
Dr. Minniti is currently serving as a board member on the National Association of Certified Valuators and Analysts' (NACVA) Litigation Forensics Board (LFB) and as a committee member on the Arizona State Board of Accountancy's Law Review Advisory Committee.