Nagpur News: Recently Nagpur Branch of WIRC of ICAI organized Half Day Seminar on Stock Audit at ICAI Bhavan Dhantoli, Nagpur.
In the inaugural session Chairman of Nagpur Branch CA. Swapnil Agrawal in his welcome address said that Stock audit has to be performed by us for various banks mostly in respect of large borrower accounts. It is expected by the banker that after scrutinizing the books of accounts and stock, we should give our analytical and expert comment which the banker themself is not able to understand while monitoring the account or inspecting the unit. Thus the speaker wish to share his practical experience which he has gathered while conducting various such audits across a very diversified range of industries and to make you understand about the deliverables of stock audit.He informed the members over forth coming events of the branch.
Stock Audit is a specialised type of audit & is carried once in a year & it forms an important basis for credit exposure granted to the unit opined CA. Prasad Dharap a Senior Chartered Accountant while speaking at half day Seminar on “Stock Audit” organised by Nagpur Branch of ICAI. He added that though physical verification of stock forms integral part of the audit, a detailed observation is expected as regards the valuation of stock, stacking and storing procedures adopted by the unit, proper cover of insurance, amount of eligible debtors considered and their correctness, calculation of drawing power etc. These things are expected of stock auditors, because of professional knowledge and experience as also the time which they are devoting during carrying out of such assignment, which the officer or the banker is unable to carry out in his own routine course of account supervision and monitoring. He further said that auditor should try to scrutinize the documents and records in such a way as will facilitate us to certify the correct drawing power. Apart from routine matters other areas that should be commented upon are like creation of charge with ROC, arrears of statutory payments if any etc. He explained the process thoroughly and resolved the queries of participants in very effective manner.
CA. Suren Duragkar co-ordinate the proceeding and proposed formal vote of thanks.
Prominently present on the occasion were, CA. Swapnil Ghate, Treasurer, CA. Vilas Saranjame, , CA. Girdhari Lal Sharma and over 150 members.