Physical verification of assets is a process conducted by external consultants to make sure that the assets of a company actually exist. It is of immense importance for every business entity to carry out this process at the end of every financial year. Our approach to verification is to conduct a line-by-line reconciliation of fixed assets accounting records to assets found during the physical inventory taking process. We have a team of associates and supervisors to work on. In order to serve in remote locations, we have a special team adjustable to a local locations.
The objective of Physical Verification of Assets:
Verify the Existence of Assets
Valuation – Accounting for any discrepancy
Critical for Continuous Customer Service
A consistent audit trail is created and used to link the reconciled inventory file with the existing fixed asset accounting records.
At the conclusion of the effort, we provide the audit trail (MS Excel file) and several specific reconciliations reports as defined below:
Matched assets – items found during the inventory process and traced to the fixed asset accounting records
Unrecorded additions – items found during the inventory process but not found in the fixed asset accounting records
Unrecorded retirements – items found in the fixed asset accounting records but not found during the inventory process