Which method of record audit is concerned with the total value of inventory?

Question

Quizplus · Accepted Answer

Physical inventory involves physically counting all items in inventory to determine the total value. Weight counts involve weighing a sample of items and extrapolating to determine the total value, cycle counts involve counting a subset of inventory items on a regular schedule, and sampling records involves randomly selecting a sample of inventory transactions to audit. None of these methods specifically address the total value of inventory like physical inventory does.

Which Method of Record Audit Is Concerned with the Total