A Common Inventory Observation Procedure Is to Select a Random

question 21

Multiple Choice

A common inventory observation procedure is to select a random sample of tag numbers and identify the tag with that number attached to the actual inventory item. The audit objective being achieved by this procedure is

• A) inventory as recorded on tags actually exists (existence).
• B) existing inventory is counted and tagged (completeness).
• C) inventory is counted accurately (accuracy).
• D) inventory is classified correctly (classification).

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Definitions:

Migrant and Seasonal Agricultural Worker Protection Act

U.S. legislation aimed at safeguarding the rights of migrant and seasonal farm workers by establishing employment standards and worker protections.

Workers Rights Consortium

An independent labor rights monitoring organization that focuses on protecting and advancing the rights of workers globally, particularly in the apparel industry.

Combat Sweatshops

Efforts and policies aimed at improving working conditions and wages in sweatshops, which are often characterized by unfair labor practices and exploitation.

Contractors

Individuals or companies that undertake a contract to provide materials or labor to perform a service or do a job.