If a periodic physical inventory of property, plant, and equipment is taken, the individual responsible for the inventory should be independent of the custodial and record-keeping functions.

Question

Quizplus · Accepted Answer

The individual responsible for the inventory should be independent to ensure accuracy and reliability of the inventory counts. This helps to prevent errors or discrepancies in the records and deter fraud or theft.

If a Periodic Physical Inventory of Property, Plant, and Equipment