Question

auditor should verify stock which are not lying with the concern example goods on consignment

Answer 1

Answer:

by obtaining and examining the confirmation from the consignee

Answer 2

Explanation;              

In any industry, the accuracy and verification of stock-in-trade is critical.

Because the closing stock of one year becomes the starting stock of the next, it is critical to keep an eye on it at all times.

The closing stock should be equal to the opening stock + purchase - sale.

This equation may be correct; however, if there is a discrepancy for any reason, the Auditor should investigate and verify the cause.

The value of stock is determined by physical verification at the end of the year, and it should match the book balance.