Physical Verification of Assets

Additional Details

A physical verification of assets is a process conducted by auditors to make sure that the assets of a company actually exist. It is of immense importance for every company 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 PAN India & international basis. In order to serve in remote locations we have a special team adjustable to local language, location.

Objective of Physical Verification of Assets:

(1) Statutory Compliances - CARO 2003

(2) Verify Existence of Assets

(3) Valuation - Accounting for any discrepancy

(4) Internal Compliances

(5) Critical for Continuous Customer Service

This requires objective assessment of the ledger contents and the business rules (internal controls) that support internal asset management.

The process includes:

(1) Automated Comparison of Asset Tag and Serial Numbers

(2) Automated and Manual Comparison of Manufacturer Model Numbers

(3) Comparison of Additional Available Information such as Description, Location and Department are taken into consideration

(4) Additional effort is also made to address potential matches by description, manufacturer, model and serial number that may appear elsewhere in each record entry

(5) Bulk Entries and Grouped Assets are allocated to the Individual Assets (computer equipment, furniture, manufacturing equipment, etc.)

(6) Follow-up visits with departments are conducted as necessary to verify any residual assets and/or gather additional information.