State the required disclosures for inventories as required under Schedule III (Part I) to the Companies Act, 2013.

CA Intermediate · Auditing and Ethics · PYQS · September 2025
State the required disclosures for inventories as required under Schedule III (Part I) to the Companies Act, 2013.

Suggested Answer and Working Notes:

Disclosures for inventories as required under Schedule III (Part I) to companies Act, 2013: Ensure whether the following disclosures as required under Schedule III (Part I) to the Companies Act, 2013 have been made: (i) Whether inventory has been classified as:Raw materialsWork-in-progressFinished goodsStock-in-trade (goods acquired for trading)Stores and sparesLoose toolsOthers (specify nature). (ii) Whether goods-in-transit have been disclosed separately under each sub-head of inventories. (iii) Mode of valuation shall be stated.

Topics: Audit of Items of Financial Statements

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