[Anonymous]

An auditor using audit software probably would be least interested in which of the following fields in a computerized perpetual inventory file?

A.Economic order quantity

B.Warehouse location

C.Date of last purchase

D.Quantity sold

Answer: A

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Why is the answer A? If an auditor is using audit software, wouldn’t it not matter where the warehouse location is?

[FIFOisbetterthanLIFO]

Warehouse location is actually very important because you may want to observe or confirm inventory. Knowing if the inventory is at or near the location you are working would be key to selecting test counts. This is especially important because many global companies have dozens of warehouses/distribution centers.

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[Author]

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